VinFast, Vietnam's pioneer electric vehicle (EV) manufacturer, is set to establish a production facility in Indonesia with an investment of 18.6 trillion Rp (approximately US$1.2 billion), as disclosed by Indonesia's Presidential Chief of Staff, Moeldoko.
During a press conference on Monday, Moeldoko announced that the construction of the plant would commence at the earliest opportunity. However, specific details of the plan were not disclosed.
Being one of the prominent EV producers in Southeast Asia, VinFast has gained recognition for exporting its vehicles to Europe and America. The move to invest in Indonesia is anticipated to contribute to the development of an EV ecosystem within the country, according to Moeldoko.
Reports from Indonesia's media revealed that in early September, VinFast executives engaged in discussions with Indonesian Trade Minister Zulkifli Hasan. The minister assured support to facilitate the operations of the automaker.
Kukuh Kumara, the Secretary General of the Association of Indonesia Automotive Industry (Gaikindo), conveyed in late October to Antara News Agency that VinFast had expressed its interest in joining the association. The manufacturer was in the process of completing necessary procedures with the Indonesian government before making its official entry into the country's automotive market, he added.