VinFast breaks ground on EV plant in North Carolina, greenlit to list in the US

The US factory project is VinFast’s first electric vehicle factory outside of Vietnam and is the first electric vehicle manufacturing facility in North Carolina, as well as the largest economic development initiative in the state's history.

The first phase of the plant has total investment of up to $2 billion, spans an area of approximately 720 hectares and is divided into five main production areas, including a body shop, general assembly, press shop, paint shop and an energy center.

In the initial phase, the factory will focus on building VinFast’s VF 7, VF 8 and VF 9 electric vehicles with an expected production capacity of 150,000 vehicles per year. The supplier base for components and materials will be primarily concentrated in the US, Vietnam and a few other countries. Future expansion and updates for the factory will be identified in the next phase.

VinFast has appointed Clayco as the general contractor and construction management company to lead the project and will begin the bidding process to select subcontractors soon.

“Today's event marks a new milestone for VinFast, affirming our commitment to the North American market,” said Le Thi Thu Thuy, CEO of VinFast, during the ceremony. 

“Not only will this project create thousands of jobs and contribute to North Carolina’s economic development, but VinFast’s electric vehicles produced here will also bring additional economic benefits to consumers”, she added.

The VinFast electric vehicle manufacturing plant is expected to commence production in 2025, creating an ecosystem of suppliers and thousands of jobs.

On the same day, VinFast Auto Pte. Ltd. and Black Spade Acquisition Co announced that the U.S. Securities and Exchange Commissionhas declared effective the registration statement on Form F-4 of VinFast in connection with its proposed business combination with Black Spade.

Black Spade has scheduled the extraordinary general meeting of shareholders to approve the proposed business combination with VinFast to be held on August 10, 2023.

The business combination values VinFast at an enterprise value of $27 billion and an equity value of $23 billion. The transaction is expected to close followed by the listing of VinFast in August 2023, subject to shareholder approvals and other customary closing conditions.

VinFast is a member of Vingroup, operating an automotive manufacturing complex in northern city of Hai Phong that boasts up to 90 per cent manufacturing automation and an annual production capacityof up to 300,000 units per year in the first phase.

The company became a fully EV manufacturer in 2022, and has since delivered four EV models: VF e34, VF 8, VF 9 and VF 5 to customers in Vietnam to date. VinFast crossed an important milestone on the journey to becoming a recognized global EV brand with its first VF 8 EVs exported to North America earlier this year.