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Vingroup starts construction on EV Battery Manufacturing Factory in the Vung Ang Economic Zone (Ha Tinh)

12.12.2021 Nguyễn Hải
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December 12, 2021 – The People’s Committee of Ha Tinh Province and Vingroup officially began construction of the VinES Battery Manufacturing Factory in the Vung Ang Economic Zone (Ha Tinh). The facility is backed by VND 4,000 billion (nearly 173.7 million USD) in investments and is being developed on 8 hectares in its initial phase. The establishment of this factory represents an important milestone in VinFast’s strategy of self-production and supply of batteries with global standards for its electric vehicles.

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The VinES Battery Manufacturing Factory will provide Lithium batteries for VinFast’s electric cars and buses. In Phase One, the factory will scale 8 hectares, funded by a total investment of more than VND 4,000 billion. The entire infrastructure of the factory, including a casting shop, a welding shop, and a packaging (battery pack) shop, is designed to produce 100,000 battery packs per year. Phase Two of the factory will expand production to include battery cells manufacturing and upgrade capacity to 1 million battery packs per year.

This very first and most advanced battery plant in Vietnam will be equipped with European and American-standard technologies that boast an astounding workflow automation rate of 80%. Vingroup is also working with strategic partners, include world’s leading companies in pioneering technologies for the production of electric vehicle batteries.

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Speaking at the groundbreaking ceremony, Mr. Nguyen Viet Quang, Vice President & CEO of Vingroup noted: "The research and construction of this battery manufacturing factory in the Vung Ang Economic Zone reflect our efforts to establish a clean energy ecosystem that contributes to the localization of VinFast’s supply. Furthermore, we have been promoting collaboration with many prestigious partners around the world, including firms in the US, Israel, Taiwan, China and more, to research, develop and apply cutting-edge battery technologies such as super-fast charging, 100% solid-state batteries and highly advanced battery materials."

The construction of the VinES Battery Manufacturing Factory marks a significant step in implementing Vingroup’s "three-pillars" battery strategy, including procuring batteries from the world’s top manufacturers, collaborating with partners to produce the world's best batteries and conducting in-house research and development for battery production.

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This is a key strategy in VinFast’s goal of becoming a global smart electric vehicle company. With this, VinFast will be able to provide a wide range of batteries that are suitable for each of its electric vehicle lines, fulfill growing demands in the Vietnamese and global markets. The importance of this battery factory in VinFast’s global expansion plan is especially significant given its recent introduction of two electric car models, the VF e35 and VF e36, at the Los Angeles Auto Show last November.

According to Ms. Thai Thi Thanh Hai, Vice Chairwoman of  Vingroup and Vice-Chair of Board of Members of VinFast, "This is in the focus of VinFast’s localization strategy of supply. The strategy enables us to own our supply chain of batteries and parts and to keep VinFast at the forefront of battery technology innovation. This, in turn, helps us provide high-quality products at reasonable  prices and drive the movement of the global smart electric vehicle revolution.”

Once operational, the project is expected to attract thousands of domestic and foreign workers and contribute to accelerating industrial production in Ha Tinh Province.

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About Vingroup

Established in 1993, Vingroup is one of the leading private conglomerates in the region, with a total capitalization of 35 billion USD from three publicly traded companies (as of November 4, 2021). Vingroup currently focuses on three main areas: Technology, Industry, and Services. Find out more at: https://www.vingroup.net/en.

About VinFast

VinFast - a member of Vingroup – envisioned to drive the movement of global smart electric vehicle revolution . Established in 2017, VinFast owns a state-of-the-art automotive manufacturing complex with globally leading scalability that boasts up to 90% automation in Hai Phong, Vietnam.

VinFast has announced three electric car models, exceptional battery leasing policies, and industry-leading 10-year warranties. In July 2021, VinFast started expanding to the North American and European markets. Two of its smart electric SUV models – VF e35 and VF e36, are expected to be available for pre-orders globally in the first half of 2022. Find out more at: https://vinfastauto.com.

About VinES

VinES Energy Solutions specializes in researching, developing and manufacturing batteries for electric vehicles. In particular, VinES has research institutes for manufacturing lithium-ion battery cells to serve the production of electric vehicle batteries. VinES cooperates with many world’s leading battery cell manufacturers and is investing in a modern testing center to evaluate product quality according to European and American standards.

Nguyễn Hải Media specialist

Section   Company
12.12.2021
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