Vietnam's VinFast delays US electric car plant amid market slowdown

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HANOI : Vietnamese electric vehicle (EV) maker VinFast is delaying the launch of its planned $4 billion factory in North Carolina to 2028 and cutting its delivery forecast for this year by 20,000 units amid uncertainties in the global EV market.

FILE PHOTO: The logo of Vietnam's VinFast, a fledgling electric vehicle maker, is pictured in a sales location at a shopping mall in Santa Monica, California, U.S., May 23, 2022. Picture taken May 23, 2022. REUTERS/David Swanson/File PhotoHANOI : Vietnamese electric vehicle maker VinFast is delaying the launch of its planned $4 billion factory in North Carolina to 2028 and cutting its delivery forecast for this year by 20,000 units amid uncertainties in the global EV market.

Sales at the Vietnamese EV maker rose 24 per cent to about 12,000 vehicles in the second quarter, compared with the previous three-month period. In total, VinFast sold 21,747 units in the first half of 2024, an increase of 92 per cent against the same period last year, but around one-fourth of the new yearly forecast.

The EV maker still expects strong sales growth in the second half of the year, driven by a diverse product range and expansion in key regions, including new markets in Asia and existing markets. VinFast had announced in 2022 that it would build an EV and battery factory in the United States with an annual production capacity of 150,000 vehicles, seeking to take advantage of the Biden administration's efforts to approve subsidies for EVs made in America.

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