Home Economy VinFast Auto lands in PHL

VinFast Auto lands in PHL

by

By Dylan Afuang

THROUGH VINFAST Auto, Vietnam is now present in the global electric vehicle space — competing against makers from North America, China, Europe, Japan, and South Korea. And as part of its global expansion, the Vietnamese electric two- and four-wheeler manufacturer has joined the burgeoning EV market here in the Philippines.

Last week, VinFast Philippines did so with a public showcase of the brand’s local selection of electric cars and motorcycles, and announcement of ambitions for the market.

Established in 2017, VinFast is the mobility arm of Vietnam’s Vingroup conglomerate that operates in fields of education, real estate, and technology, among many other industries. The auto brand touts itself as one of the first of its kind to switch to producing only pure-electric vehicles, when it did so in 2022.

“We don’t only produce EVs, but also electric buses for public transportation, electric motorbikes for adventurers, and electric bicycles for those who love the outdoors,” Deputy CEO for Sales and Marketing of VinFast Philippines Jude Racadio explained during the brand’s public launch in Pasay City.

As the company believes that widespread adoption of EVs can enable the world to achieve sustainability, it’s “this mission (that) motivates us to expand into vibrant markets like the US, Canada, as well as promising Southeast Asian markets like Thailand and Indonesia, and now, the Philippines,” the executive added.

In this particular region, the Philippines is the third country VinFast is entering.

For her part, VinFast Philippines CEO Nguyen Thi Minh Ngoc explained to the media on the sidelines of the launch program that the “Philippine government giving supportive policies for EVs” led the brand to choosing the archipelago as its next market.

In Republic Act 11697 or the Electric Vehicle Industry Development Act (EVIDA), import duties on battery-, plug-in hybrid, and hybrid-electric vehicles (BEVs, PHEVs, HEVs), electric motorcycles and bicycles, as well as the importation of electrified vehicle parts and related production equipment, are reduced to zero.

“We also believe that the Philippines is a promising market,” Ms. Ngoc added, “so we’re bringing our (vehicles) with accessible prices. And with the quality of our four- and two-wheeled vehicles, Filipinos can join the race to green mobility.”

The brand’s four-wheel lineup consists of the VF 5, the VF e34, the VF 7, and the VF 9. As of writing, the brand has not yet revealed these models’ prices, although they’re slated to go on sale by the end of June, and will be delivered to customers by the third quarter.

VinFast Philippines is also “exploring the (local) introduction” of the VF 3 mini-SUV and is “researching the potential for electric motorbikes and bicycles,” it said in a release.

The brand has named EV Solutions; K1 Prestige Bay Motors, Inc.; and Autoflare Corp. in Metro Manila; and MNV Auto Group, Inc. in Iloilo City as its initial dealership partners. In Manila, the first VinFast dealership is eyed to open by month’s end.

In a release, the brand claimed that it will offer car purchases with batteries and a unique battery subscription policy. With the latter promo, buyers can essentially lease the car’s battery instead of purchasing the car outright, in order to theoretically lower the EV’s initial purchase price.

In terms of after-sales programs, the VinFast EVs will come with warranties spanning from seven to 10 years. For units acquired through subscription, the brand could replace these cars’ batteries for free should their capacities fall below 70%.

Related News