The Powerhouse Behind VinFast's Electric Vehicle Ambitions

EQS Newswire / 24/05/2024 / 04:00 CET/CEST HANOI, VIETNAM - Media OutReach Newswire - 24 May 2024 - Leveraging Vietnam's production strengths and backed by Vingroup, the country's largest private conglomerate, Vietnamese electric vehicle maker VinFast is poised for expansion in the European market.

Vietnam's richest man is pouring resources into VinFast, the electric vehicle arm of Vingroup, Vietnam's largest private company. This move signals a strong belief in the future of electric mobility.

At Vingroup's annual general meeting of shareholders, Pham Nhat Vuong, Vingroup's Chairman reaffirmed the corporation's commitment to its electric vehicle subsidiary, VinFast. "The electric vehicle market will continue to grow," Vuong declared. "VinFast is Vingroup's mission, honor, and future, and I will not give up on VinFast."

Vuong's statement underscored his confidence in the electric vehicle industry's unwavering trajectory. It also signaled Vingroup's role as a financial backing for VinFast's international aspirations.

Multi-industry Corporation from Vietnam, a New Manufacturing Powerhouse

A recent survey by the European Chamber of Commerce in Vietnam (EuroCham) indicates growing optimism in the country's economy among European businesses. The EuroCham Business Confidence Index, conducted by Decision Lab, reached a six-quarter high of 52.8 in the first quarter of 2024.

Vietnam's economic rise is also reflected in the success of domestic corporations like Vingroup. This diversified conglomerate is a major player in the economy, contributing an estimated 1.6 percent of Vietnam's 2023 GDP. Vingroup operates across three core sectors: technology-industry, trade & services, and social enterprise.

While all of Vingroup's businesses contribute to its success, the real estate and electric vehicle segments have emerged as the primary revenue drivers in 2023, exceeding 6.5 billion USD combined. In the first quarter of 2024 alone, the company achieved total consolidated net revenue of 853.7 million USD and consolidated after-tax profit of 52.5 million USD.