Mexican Media Brands
Vietnam Startup Gets $950 Million Credit Line
Vietnamese startup VinFast Manufacturing and Trading Co. Ltd. has arranged a $950 million line of credit to help launch its first model in 2019, Reuters reports.
#economics
Share
Vietnamese startup VinFast Manufacturing and Trading Co. Ltd. has arranged a $950 million line of credit to help launch its first model in 2019, Reuters reports.
VinFast aims to become Vietnam’s first domestic carmaker in August when it debuts its LUX S2.0 midsize crossover vehicle (pictured) and LUX A2.0 midsize sedan. Both models were unveiled last week at the Paris auto show.
A unit of Vietnamese conglomerate Vingroup JSC, VinFast figures it will spend $3.5 billion to launch the two models. Two months ago the company completed a $400 million loan facility with four international banks.
The startup has hired Italdesign and Pininfarina to design its vehicles, which will ride on BMW’s previous-generation 5 Series platform. The company also has partnered with Magna International Inc. to provide engineering and technical support. VinFast’s models will be assembled in a $1.5 billion factory now being built in Hai Phong.
VinFast’s ambitious plans include two minicar models, one of them an all-electric car, and an annual production rate of 500,000 units by 2025.
RELATED CONTENT
-
Porsche Doubles EV Target for 2025
Porsche AG says about half the vehicles it sells by 2025 will be equipped with hybrid or all-electric powertrains, twice the ratio it forecast four weeks ago.
-
China and U.S. OEMs
When Ford announced its 3rd quarter earning on October 24, the official announcement said, in part, “Company revenue was up 3 percent year over year, with net income and company adjusted EBIT both down year over year, primarily driven by continued challenges in China.” The previous day, perhaps as a preemptive move to answer the question “If things are going poorly in China, what are you doing about it?, Ford announced that it was establishing Ford China as a stand-alone business unit.
-
Mazda, CARB and PSA North America: Car Talk
The Center for Automotive Research (CAR) Management Briefing Seminars, an annual event, was held last week in Traverse City, Michigan.