Hanoi (VNA) – Vietnamese electric vehicle maker VinFast officially inaugurated its facility in Subang, West Java on December 15, marking a defining milestone in the company's strategy to expand its global production network and deepen its long-term commitment to Indonesia.
The plant is poised to significantly strengthen VinFast's local competitiveness, accelerate localisation efforts, generate high-quality employment, and play a pivotal role in advancing the nation's electric vehicle industry.
The VinFast Subang plant was completed and put into operation just 17 months after groundbreaking, demonstrating the company's rapid execution capability and strong implementation capacity. This is VinFast's fourth operational facility worldwide, and its first plant in Indonesia and Southeast Asia outside of Vietnam.
Bringing the plant into operation on schedule highlights VinFast's firm commitment to promoting localisation in alignment with the Indonesian Government's strategy for developing the national electric vehicle industry. According to the roadmap, VinFast targets to swiftly increase the localisation rate to more than 40% within 2026, 60% by 2029 and 80% from 2030 onwards, while actively fostering a supporting industrial ecosystem around the Subang complex.
Speaking at the ceremony, Airlangga Hartarto, Indonesian Coordinating Minister for Economic Affairs, stated the project closely aligns with the Indonesian Government's green industrial development agenda and serves as a strong catalyst for the local economy, particularly in job creation, workforce quality enhancement, and the growth of a supporting industrial ecosystem.
“With the scale and stature of this project, we firmly believe VinFast will become a key anchor, helping position Subang as a new EV industrial hub of the region in the near future," he noted.
Pham Sanh Chau, CEO of VinFast Asia, shared: "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”.
He believed that localisation is a decisive foundation for VinFast's sustainable success in this market, while also directly contributing to the Indonesian Government's objectives of economic growth, industrial development, and job creation.
“With the Subang plant now officially in operation, VinFast has completed one of the most comprehensive and integrated electric vehicle ecosystems in Indonesia, reaffirming our commitment to long-term partnership and shared value creation with the country,” he added.
The plant is located on a 171-hectare site and is being developed in multiple phases with a total investment of more than 1 billion USD. In subsequent phases, its production capacity can be scaled up to 350,000 vehicles per year, positioning the facility to meet Indonesia's growing market demand and to unlock future export opportunities.
In Phase 1, VinFast is investing over 300 million USD, with the plant achieving an initial capacity of 50,000 vehicles per year. The facility features a fully integrated production line built to international standards, with a high level of automation and advanced technologies to ensure superior product quality. It includes all core workshops such as Body Welding, Painting, Assembly, along with a Quality Inspection Centre and a Logistics Warehouse.
Notably, the project also allocates land for the development of a supporting supplier park for local contractors and businesses, which is planned for expansion in the coming years, laying a solid foundation for deep and sustainable localisation.
At full capacity, the VinFast Subang plant is expected to create between 5,000 and 15,000 direct jobs for local workers, along with thousands of indirect jobs across the supply chain and related services. This will serve as a powerful driver for the socio-economic development of Subang, which is being positioned as a new industrial growth centre of West Java.
In the initial phase, the plant will focus on assembling VinFast's strategic EV models, including VF 3, VF 5, VF 6 and VF 7 (right-hand drive versions), for the Indonesian market. These models are well-suited for urban mobility, targeting young consumers and modern families.
The inauguration of the VinFast Subang plant clearly reinforces VinFast's role in building the EV value chain in Indonesia, contributing to the elevation of Southeast Asia's position on the global EV industry map./.
See more
Three airlines to operate inaugural flights to Long Thanh airport on December 19
Three flights operated by Vietnam Airlines, Vietjet Air, and Bamboo Airways will make the first official “inaugural landings” at Long Thanh International Airport in the southern province of Dong Nai on December 19.
2025 a good year for Vietnam’s securities sector: SSC
During the year, the SSC made significant progress in improving the legal and policy framework. Institutional work was implemented in a coordinated manner, including the issuance of two decrees, one resolution, seven circulars and three major schemes. At the same time, the regulator strengthened policy dialogue and expanded cooperation with international organisations to support the market upgrade process.
Vietnam shifting FDI attraction focus from volume to quality
As production relocation to Southeast Asia accelerates and competition for FDI intensifies, Vietnam faces increasing pressure from regional rivals such as India, Malaysia and Indonesia, which are offering bold tax incentives and developing specialised industrial parks. This reality requires Vietnam to shift its focus from attracting large volumes of capital to drawing high-quality investment, prioritising core technologies, innovation, value chain linkages and higher localisation rates.
Reference exchange rate down 3 VND on December 16
The State Bank of Vietnam set the daily reference exchange rate at 25,141 VND/USD on December 16, down 3 VND from the previous day.
Real estate market will have clear divergence next year
Vietnam’s real estate market is currently driven by real demand, transparent legal frameworks, and a more positive foundation thanks to new legal corridors, with expectations of a clear recovery in 2026.
Ho Chi Minh City steps up oversight of unqualified fishing vessels
HCM City currently has 4,475 fishing vessels, all of which have been registered and updated on the VNFishbase system. Among them, 4,268 vessels, or 95.37%, have been granted fishing licences, while 207 unqualified vessels are being strictly managed and kept ashore.
Ample room remains for trade, investment cooperation with Japan, RoK
A seminar was held in Ho Chi Minh City on December 15, aiming to explore ways for fostering Vietnam's trade with the two Northeast Asian countries.
First technical flight lands at Long Thanh International Airport
After landing, the aircraft was greeted with a traditional water salute from two fire tenders to welcome the first aircraft plane to land safely at the new airport.
Resolution 57: Pilot models spread to boost productivity, quality
From 2021 to 2025, assistance reached more than 6,400 enterprises in adopting productivity and quality enhancement solutions, while 102 pilot models were rolled out, hitting targets five years ahead of schedule.
HanoiTex & HanoiFabric 2025 to open with 250 booths from nine markets
The event will open direct entry to Vietnam’s rapidly expanding textile and garment market, providing a platform to connect with thousands of prospective buyers, promote global brands and forge strategic partnerships across Asia.
Bamboo Airways adds Airbus A320 ahead of peak travel season
The timely addition boosts capacity for the carrier and advances its fleet rebuilding effort since returning to management under FLC Group.
HCM City businesses ramp up production to meet Lunar New Year demand
From early December, major retail chains in the city have recorded a noticeable increase in shoppers seeking Tet products. Many consumers are taking advantage of promotional programmes to purchase gift items with long shelf lives, such as confectionery, soft drinks and processed foods, well ahead of the holiday peak.
Reference exchange rate down 4 VND at week’s beginning
With the current trading band of +/- 5%, the ceiling rate applicable for commercial banks during the day is 26,401 VND/USD, and the floor rate 23,887 VND/USD.
Vietnam to host seminar on export growth strategies
Vietnam's exports rose 16.1% to 430.2 billion USD in the first 11 months of 2025, while total trade hit 839.8 billion USD during the same period. This strong performance shows that exports remain a key driver of economic growth, boosting Vietnam's standing on the world stage in recent years.
PM requests greater efforts to operate Long Thanh International Airport on schedule
Long Thanh International Airport in Dong Nai province has a total investment of over 16 billion USD, divided into three phases. Construction of the first phase, estimated to cost 5.4 billion USD, began in 2020. Once operational, it is expected to handle 25 million passengers and 1.2 million tonnes of cargo each year.
Hai Phong Port reaches 2-million-TEU milestone
Handling the 2 millionth TEU in 2025 not only demonstrates Hai Phong Port’s operational capacity and the collective efforts of its workforce, but also highlights its increasingly important role in regional and global supply chains, the confidence of shipping lines, logistics firms and the business community, and the effectiveness of policies to improve the investment climate and strengthen maritime infrastructure and services.
Tracing origins hindered by fragmented data systems
As the Government accelerates the digital economy, establishing a unified national traceability system has become a crucial move to end data fragmentation and disconnection among ministries, sectors and localities.
Tax cuts poised to ignite Vietnam’s hybrid vehicle boom from 2026
Experts forecast that 2026-2030 will mark a period of strong growth for hybrid vehicles in Vietnam, a trend that will invigorate the automotive sector while supporting national objectives on emissions reduction, sustainable development and the broader transition to green mobility.
Hanoi approves two strategic projects to fuel long-term growth
Hanoi has approved in principle two major projects, including an Olympic sports urban area and a Red River Landscape Boulevard, aimed at driving long-term growth and reshaping the capital.
Vietnam - China International Trade Fair opens in Tuyen Quang province
The six-day fair hosts more than 240 booths operated by companies from both countries, showcasing farm produce, medicinal herbs, machinery and equipment, consumer goods, handicrafts, and opportunities in investment, trade and tourism as well.