Hanoi – Vietnam’s richest man, Pham Nhat Vuong, is redirecting electric vehicle maker VinFast Auto Ltd. towards Asian markets such as India, Indonesia, and the Philippines, after costly attempts to break into the US and Europe.
Vuong has invested more than $14 billion into VinFast since its launch in 2017, including over $2 billion of his personal fortune. Last year, the company recorded a $3.2 billion loss, spending $1.57 for every $1 in sales.
The Asia pivot follows the opening of VinFast’s first overseas assembly plant in India, with capacity to produce 150,000 vehicles annually for South Asia, the Middle East, and Africa. The $500 million project could eventually expand to $2 billion. A second Vietnam plant and a new Indonesian factory are also in the pipeline.
VinFast sees these “late bloomer” markets as high-potential growth areas for electric vehicles, despite lower incomes and thinner profit margins. The company aims to break even by the end of 2026.
Competition remains a challenge. Chinese EV makers are expected to intensify price wars across Southeast Asia, while VinFast continues building its brand and service network. Of the company’s 97,399 global deliveries in 2024, 90% were in Vietnam, with 92% of total revenue over the past four years also coming from its home market.
Vuong’s personal commitment, backed by the resources of his Vingroup conglomerate, continues to sustain the automaker. Analysts say Vingroup’s profitable real estate arm could bankroll VinFast for years, barring a major downturn.
