Czech automaker to build $500 million factory in Quảng Ninh

Jan 22nd at 08:22
22-01-2025 08:22:01+07:00

Czech automaker to build $500 million factory in Quảng Ninh

Czech automobile manufacturer Skoda is set to complete a US$500 million factory in Quảng Ninh Province this quarter.

 

The facility will initially produce internal combustion engine vehicles before transitioning to electric vehicles, with plans to export to Southeast Asian markets.

Skoda has partnered with Thành Công, a distributor for Hyundai, one of the most popular car brands in Việt Nam.

Currently under construction, the factory is located about an hour from a major VinFast electric vehicle production hub.

As the first automotive factory in the province, it will span 36 hectares with an annual production capacity of 120,000 vehicles.

Skoda, which began exporting cars to Việt Nam in 2023, sees significant potential in the market.

“We recognise that Skoda has growth opportunities in Việt Nam and Asia,” Marketing Director of Skoda Việt Nam Vũ Mạnh Cường said.

However, he added that it will take time to introduce products to customers, allowing them to experience and familiarise themselves with the brand.

The factory, Skoda’s first in Southeast Asia, will fully assemble vehicles in its first phase, with components imported for local assembly. Việt Nam has offered incentives, including land rental support and worker housing construction, contingent on Skoda’s focus on high-tech and scientific innovation.

Skoda plans to sell two gasoline-powered models, including the Slavia sedan and Kushaq compact SUV, before rolling out electric vehicles.

The company will face competition from established brands from Japan, South Korea and China, as well as domestic player VinFast.

Việt Nam's automotive sales reached 340,142 units in 2024, a 12.6 per cent increase from the previous year, according to the Việt Nam Automobile Manufacturers’ Association (VAMA).

VinFast is not included in VAMA’s data. It sold 87,000 electric vehicles last year, 2.5 times more than the previous year.

bizhub



NEWS SAME CATEGORY

Positive outlook for wood product exports after roaring success in 2024

The woodworking industry will strive to achieve the export target of US$18 billion for this year, the Handicraft and Wood Industry Association of HCM City has said.

Exporters make contingencies as fear of tariffs looms

Vietnamese exporters have proactively diversified their markets from the start of the year to mitigate risks as they may soon face significant tax hikes globally...

Sustainable fuel incurs new costs for Vietnamese airlines

Vietnamese airlines have been active in adopting Sustainable Aviation Fuel (SAF), making Vietnam's aviation sector greener.

Investment policy for Can Gio International Transshipment Port approved

Can Gio International Transshipment Port will put Ho Chi Minh City at the forefront along one of the most important shipping routes in the Asia-Pacific region.

Online shopping discharges thousands of tonnes of plastic waste each year

To earn $1 billion, the e-commerce industry pours more than 7,600 tonnes of plastic into the environment, while food delivery does nearly 18,600 tonnes of plastic...

Skoda to complete Vietnam automobile plant in Q1

Czech carmaker Skoda is on track to complete a $500 million automobile plant in Vietnam in the first quarter of 2025.

The tropical paradise that appeals to travellers and investors

The small tropical Caribbean country of Antigua and Barbuda is not only a travellers’ paradise, but also a prime destination for entrepreneurs and investors...

KTG Industrial crafts success with trusted factory solutions

In Vietnam’s dynamic industrial landscape, KTG Industrial stands out as a trusted developer, committed to crafting success with its reliable factory solutions.

Vietnam cultivates modern workforce

Aware of the high-tech workforce shortage amid tech giants flocking to Vietnam, the government has proposed training roadmaps alongside direct initiatives by tech...

Efforts to craft compelling recycling industry for Vietnam

In Vietnam, recycling is carried out in thousands of craft villages. Only a few businesses certified for environmental compliance by the provincial authorities or...


MOST READ


Back To Top