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A leading global automotive company, VinFast is based in Vietnam. It is part of the Vingroup, which is ranked amongst the largest privately-owned businesses in Vietnam. VinFast was launched in 2017 and since then, it has expanded its footprint across the globe. The company has presence in the United States, Canada, Europe and Asia. VinFast offers a wide range of electric mobility products such as electric cars and electric two-wheelers.
VinFast – History
VinFast started operations in Vietnam in 2017. The first plant came up on Cat Hai Island, located near Hai Phong city. In 2018, an investment of US$1.5 billion was announced for production of cars and electric two-wheelers. In the same year, a partnership was signed between Chevrolet and VinFast. In 2020, VinFast became a bestseller in multiple segments in Vietnam.
In 2021, the company launched new EV brands – VF e34, VF 8 and VF 9. Two new electric scooters, Theon and Feliz, were also launched. In 2022, VinFast commenced global pre-order and delivery of VF 8 and VF 9. In 2023, the VF 5 and VF 6 were launched. In the same year, the company initiated the groundbreaking ceremony of its plant in North Carolina, United States. In August 2023, VinFast was listed on the Nasdaq with the ticker name ‘VFS’. VinFast will be building new plants in multiple overseas locations to power its global ambitions.
Who owns VinFast?
The ownership of VinFast is largely with the parent company Vingroup. Vingroup was founded by Pham Nhat Vuong. Data reveals that Vingroup contributed around 1.6% to Vietnam’s total GDP in 2023. Vingroup has presence in various industry segments such as real estate, automobile, technology, social enterprise and trade & services.
As per the SEC filing, Vingroup holds around 1.2 billion shares in VinFast. This is around a 50% stake in the company. Furthermore, Vingroup operates two private investment companies named Asian Star and Vietnamese Investment Group. Taken together, the parent company Vingroup and the two investment firms hold around 99.7% stake in VinFast.
Who founded VinFast?
VinFast was founded by Pham Nhat Vuong, a Vietnamese billionaire and the founder of Vingroup. He owns more than 99% in VinFast. Vuong did his graduation from the Moscow Geological Prospecting Institute, located in Russia. He always wanted to be an entrepreneur and started the journey by launching a Vietnamese restaurant in Ukraine.
Being a unique offering in Ukraine, his restaurant soon became quite popular among foodies. Later, he moved to the noodle business, which was also successful. The noodle business was eventually sold to Nestle in 2010. The deal was valued at $150 million.
Vuong later sensed an opportunity in Vietnam, as the country was opening up for a market-based economy in the 1990s. Vuong started with the real estate market, building luxury resorts. Later, he expanded to office spaces, shopping malls and luxury townships. As the company grew, Vingroup diversified into other segments such as automobile, technology, entertainment and healthcare.
When will VinFast launch EVs in India?
VinFast will be launching its first electric car in India in 2025. The company is currently building a manufacturing plant in the state of Tamil Nadu. It is expected to become operational in H1, 2025. The plant will have a production capacity of around 1.5 lakh units per annum. VinFast has committed investment of around $500 million in India over a period of five years.
