VinFast Inaugurates USD 1 Billion EV Plant in Indonesia, Strengthening Southeast Asia Footprint

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VinFast officially inaugurated its electric vehicle (EV) manufacturing facility in Subang, West Java, marking a major milestone in the company’s global expansion strategy and reaffirming its long-term commitment to Indonesia’s rapidly growing EV ecosystem.

The inauguration ceremony, held on December 15, 2025, was attended by senior Indonesian government leaders, including Coordinating Minister for Economic Affairs Dr. (H.C.) Ir. Airlangga Hartarto, Vice Minister of Foreign Affairs Arrmanatha C. Nasir, and senior provincial officials, along with representatives from Vietnam’s diplomatic mission and VinFast’s strategic partners.

Completed in just 17 months from groundbreaking, the Subang facility is VinFast’s fourth operational plant globally and its first in Indonesia and Southeast Asia outside Vietnam. The project highlights VinFast’s rapid execution capabilities and aligns closely with Indonesia’s national strategy to build a strong domestic electric vehicle industry.

Spanning 171 hectares, the Subang plant is being developed in multiple phases with a total planned investment exceeding USD 1 billion. In Phase 1 alone, VinFast has invested more than USD 300 million, establishing an initial annual production capacity of 50,000 vehicles. At full scale, capacity can be expanded to up to 350,000 vehicles per year, supporting both domestic demand and future export opportunities.

The facility features a fully integrated production line with advanced automation and international manufacturing standards. Core operations include body welding, painting, assembly, quality inspection and logistics, ensuring high product quality and operational efficiency.

A key focus of the project is localization. VinFast aims to increase local content to over 40 percent by 2026, 60 percent by 2029 and 80 percent from 2030 onwards, in line with Indonesian government regulations. The project also allocates land for a supplier park, enabling the development of a strong local industrial ecosystem around the Subang complex.

At full capacity, the plant is expected to generate between 5,000 and 15,000 direct jobs, along with thousands of indirect employment opportunities across the supply chain. The development is expected to position Subang as a new EV industrial hub in West Java.

In its initial phase, the plant will assemble right-hand-drive versions of VinFast’s strategic EV models, including the VF 3, VF 5, VF 6 and VF 7, catering to urban mobility needs and young families in Indonesia. From 2026 onwards, the facility will also assemble new models, including electric two-wheelers and electric MPVs designed for commercial and service-oriented applications.

VinFast said the Subang plant will serve as a cornerstone of its broader “For a Green Future” ecosystem in Indonesia, which includes vehicle sales, aftersales services, financing partnerships and a growing charging network developed in collaboration with global charging provider V-Green.

With this inauguration, VinFast has further strengthened Indonesia’s position in the global EV value chain and reinforced Southeast Asia’s growing role in the worldwide transition to sustainable mobility.

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