Vingroup, Vietnam’s largest private conglomerate, which also owns the reputed EV manufacturer VinFast, has introduced its electric vehicle charging station venture named V-Green. VinFast vehicles will receive priority access at the EV charging stations.
According to a report by Reuters, the founder and chairman of Vingroup, Vietnamese billionaire Pham Nhat Vuong, will hold a 90 per cent stake in V-Green.
With this action, V-Green can focus exclusively on infrastructure investment, separate from VinFast. Furthermore, it will allow the Vietnamese EV maker to prioritize market growth and sustainable development.
VinFast Steps into the EV Charging Sector
By pursuing better access to capital and securing funds at favourable interest rates, V-Green aims to drive VinFast’s rapid expansion into international markets.
Initially, V-Green will directly engage in land acquisition and partnership formation to establish and grow its charging network in key markets worldwide. Additionally, it will collaborate with various businesses to offer charging services to owners of VinFast EVs.
In Vietnam, V-Green will manage and operate VinFast’s current charging infrastructure. Additionally, it plans to invest US$404 million over the next two years to construct new stations, upgrade, and finalize its current network.
The objective of V-Green is to deploy charging stations throughout the country and position Vietnam as one of the world’s leading countries in EV charging infrastructure. Around five years into its operations, V-Green may expand its charging services to cater to additional electric vehicle manufacturers alongside VinFast.
VinFast Praises India’s New EV Policy
The enthusiasm of Vietnam’s VinFast Auto is evident regarding India’s recent electric vehicle policy changes. The Indian government plans to lower import duties on particular vehicles to 15% from the current 70-100%. However, the condition is that the automaker invests at least Rs 4,150 crore and starts domestic production within three years.
The CEO of VinFast India, Pham Sanh Chau, lauded the Indian government’s new EV policy. He pointed out that this scheme provides opportunities for carmakers like VinFast to offer a wide range of premium electric SUVs at affordable price points.
VinFast’s investment of $500 million in India will primarily go towards setting up an EV manufacturing facility in Tamil Nadu. Previously, the company announced its plan to invest Rs 4,000 crore over five years in the first phase. Moreover, it will lead to 3,500 job creations in the Tuticorin area. Also, when in full operation, the plant will manufacture 1.50 lakh vehicles, as per Reuters.
In February, VinFast officially started construction on its inaugural integrated EV manufacturing facility in Tamil Nadu. The company also intends to boost local economic growth by promoting localization initiatives. Moreover, the company aims to establish a nationwide dealership network to build a strong brand presence.
Furthermore, the company has filed a design trademark for its first vehicle, the VF3. However, currently, there is no set launch date for the VF3.
VinFast aims to extend its operations to at least 50 countries worldwide by 2024. The company is preparing to penetrate crucial markets like the US, Canada, and Europe. Furthermore, VinFast is extending its reach into Asian countries such as India, Indonesia, Thailand, and the Philippines and venturing into the Middle East and Africa.
