VinFast starts operations at its EV plant in Indonesia

The Vietnamese automaker has built its Indonesian factory on a 171-hectare site in Subang, a town in West Java province. In the first phase of construction, the company is utilising only 10 hectares of the plot and investing $300 million dollars (approximately €255 million euros) out of a total outlay of more than one billion dollars.

VinFast has equipped the Indonesian plant with a body shop, paint shop, and general assembly, as well as a testing area and a logistics centre. The local facility offers an annual production capacity of 50,000 vehicles in the first phase, but when fully ready, it will be able to produce up to 350,000 units.

“The timely inauguration of the Subang plant is not only a testament to VinFast’s strong execution capabilities, but more importantly, a strategic milestone in our long-term commitment to Indonesia,” said VinFast Asia CEO Pham Sanh Chau.

The company has not disclosed the current level of localisation, but it is targeting more than 40 per cent next year, with plans to increase it to 60 per cent by 2029 and 80 per cent in 2030. Currently, VinFast is importing CKD kits of the right hand drive VF 3 from Vietnam and assembling them in Indonesia.

Addressing the media at the plant’s inauguration, Kariyanto Hardjosoemarto, the CEO of VinFast’s Indonesian subsidiary, said that the company will start delivering the locally assembled VF 3 to customers in January 2026. He added that the transition from CBU to CKD production will not lead to any price changes.

Following the VF 3, VinFast will assemble the right-hand drive versions of the VF 5, VF 6 and VF 7 for Indonesia at the new local factory. The company also said it plans to assemble electric two- wheelers and a commercial electric MPV in the future. With the latter, it is possibly referring to the Limo Green, which it had confirmed to launch in March 2026 last month.

vingroup.net, vinfastauto.us, otomotif.kompas.com (Indonesian)