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VinFast Doubles Vietnam Deliveries in 2024 Amidst Global Expansion Efforts

  //automotive-transportation.news-articles.net/co .. ies-in-2024-amidst-global-expansion-efforts.html
  Published in Automotive and Transportation on Tuesday, January 6th 2026 at 10:51 GMT by socastsrm.com

VinFast Accelerates: Vietnam Deliveries Nearly Double in 2024, Global Expansion Remains Key Focus

Vietnamese electric vehicle (EV) manufacturer VinFast is demonstrating significant momentum within its domestic market, with deliveries nearly doubling in 2024 compared to the previous year. This surge reflects a combination of government incentives, growing consumer interest in EVs, and VinFast's evolving strategy focused on affordability and localized production. However, the company’s ambitious global expansion plans continue to face challenges as it navigates different regulatory landscapes and market preferences.

The report from Radio Iowa details that VinFast delivered approximately 245,000 vehicles in Vietnam throughout 2024 – a substantial increase from around 128,000 units in 2023. This impressive growth underscores the company's rapid ascent within the Vietnamese automotive sector and positions it as a significant player alongside established brands. The success is largely attributed to VinFast’s VF series of EVs, particularly the VF 8 and VF 9 SUVs, which have benefitted from government subsidies aimed at promoting electric vehicle adoption. These subsidies, including registration fee exemptions and reduced import taxes on components, make VinFast's vehicles more competitive with traditional internal combustion engine (ICE) cars.

VinFast’s strategy extends beyond simply offering EVs; it encompasses a unique “battery-as-a-service” (BaaS) model initially. This innovative approach aimed to lower the upfront purchase price of its vehicles by separating battery ownership from vehicle ownership, effectively leasing the battery and charging customers a monthly fee for its use. While this model has been adjusted (more on that later), it initially proved attractive to Vietnamese consumers concerned about battery degradation and replacement costs. The BaaS model was intended to address anxieties surrounding range and long-term value – key considerations for early EV adopters.

However, the initial reception of the BaaS model wasn't entirely positive. Concerns arose regarding the monthly subscription fees and their impact on overall ownership cost over time. In response, VinFast has recently modified its approach. The company now offers customers the option to purchase the battery outright, providing greater flexibility and aligning more closely with traditional car buying practices. This shift demonstrates VinFast’s willingness to adapt to market feedback and refine its business model. The move is also likely influenced by changing regulations and consumer expectations in international markets where VinFast intends to expand.

Beyond Vietnam, VinFast's ambitions are firmly set on global expansion, particularly targeting North America and Europe. The company has established manufacturing facilities in the United States (in Chatham County, North Carolina) and plans to build similar plants in other regions to reduce reliance on imports and cater to local market demands. The North Carolina facility represents a significant investment – over $4 billion – and is expected to eventually produce vehicles for both the US and export markets. However, progress has been slower than initially anticipated.

The report highlights challenges faced by VinFast in its international endeavors. In North America, the company initially struggled with regulatory approvals and quality concerns, leading to recalls and delays in vehicle deliveries. The initial launch of the VF 8 was met with mixed reviews, citing issues ranging from software glitches to interior material quality. VinFast has actively worked to address these shortcomings through over-the-air (OTA) software updates and design improvements.

Furthermore, VinFast’s stock performance on the NASDAQ exchange (where it trades under the ticker VFS) has been volatile, reflecting investor skepticism regarding its long-term viability and ability to execute its ambitious expansion plans. The company's valuation has fluctuated significantly, influenced by production ramp-up challenges, regulatory hurdles, and competitive pressures within the global EV market.

Looking ahead, VinFast’s success hinges on several factors. Continued government support in Vietnam is crucial for maintaining price competitiveness. Successfully navigating regulatory approvals and quality control processes in international markets will be paramount to building brand reputation and securing customer trust. The company's ability to localize production – establishing manufacturing facilities closer to key consumer markets – will also reduce transportation costs and improve responsiveness to regional preferences. Finally, continued innovation in battery technology and charging infrastructure remains essential for addressing range anxiety and enhancing the overall EV ownership experience.

While challenges remain, VinFast’s impressive growth in Vietnam demonstrates its potential as a rising force in the global EV landscape. The company's willingness to adapt its business model, invest in localized production, and address quality concerns positions it for continued progress – although navigating the complexities of international expansion will undoubtedly require perseverance and strategic adjustments. The next few years will be critical in determining whether VinFast can truly establish itself as a major player on the world stage.

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