Apr 17, 2024 - Business

VinFast tells investors its North Carolina plant remains on track

VinFast broke ground on its Chatham County manufacturing plant in July 2023. Photo: Nick Ut/Getty Images

VinFast, the Vietnamese electric vehicle manufacturer planning an ambitious expansion in the U.S., told investors Wednesday that its future North Carolina manufacturing facility remains on track to open by the end of 2025.

Why it matters: VinFast's $4 billion Chatham County plant is projected to be one of the largest manufacturing facilities in the state — potentially employing 7,500 people in the coming years.

  • State and local governments have pledged more than $1.2 billion in incentives for the company if it meets hiring and investment goals.

Yes, but: Construction at the site, near Moncure, has slowed in recent months — and the company downsized its building plans and is still awaiting permit approvals, the News & Observer reported.

What they're saying: In response to a question about the progress of the company's first U.S. facility during VinFast's earnings call, chairwoman Le Thi Thu Thuy said: "North Carolina is still ongoing."

  • "We're still on track to start the operation by the end of next year," she said. "Hiring a lot of workers and putting in operations by the end of next year. But probably the full operations, that will take a couple of months."

Zoom in: VinFast hopes to have the capacity to build 150,000 cars per year at its Chatham plant — a significant capacity increase for the company.

  • The company said it hopes to deliver 100,000 vehicles worldwide this year. But it delivered just 9,689 vehicles in the first quarter.
  • Officials on the call said they anticipate a significant uptick in deliveries in the second half of the year, as a new model becomes available and more showrooms come online in the U.S. VinFast opened a dealership in Cary in recent months, for example.
  • In addition to its Chatham County plant, VinFast is also building facilities in India and Indonesia.

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