The Vinfast-An Phat Plastic Auto Parts Company (VAPA) officially inaugurated its VAPA factory at Dinh Vu – Cat Hai Economic Zone in the northern city of Hai Phong. — Photo courtesy of VAPA
The Vinfast-An Phat Plastic Auto Parts Company (VAPA) on Tuesday officially inaugurated its factory at the Dinh Vu – Cat Hai Economic Zone in the northern city of Hai Phong.
Starting construction in November 2018, VAPA – a joint venture between An Phat Holdings and VinFast covers an area of 11,500sq.m. The factory is equipped with modern production lines imported from worldwide partners. It now has 30 machines which will double by 2020.
VAPA provides plastic spare parts for automobile and motorbike production of VinFast, as well as supplying other customers.
The factory has been operating for six months already on a test basis.
It handled the first cargo to VinFast on July 24th with strict supervision to ensure products’ specifications. It could provide plastic spare parts for around 250,000 automobiles and 500,000 motorbikes a year in by 2023. It would increase capacity in the second phase. In addition to plastic spare parts for automobiles and motorbikes, the plant is working to produce household plastic accessories.
Speaking at the inauguration ceremony, Dinh Xuan Cuong, general director of An Phat Holdings Group said the auto industry is an important strategy and key economic sector for Viet Nam. Support industries providing necessary parts is key for auto sector’s development. However, the number of local businesses participating in the network was modest at less than 10 per cent.
“The co-operation between the group and VinFast has combined strengths of the two sides as An Phat has advantages in the plastic industry, especially spare parts while VinFast would ensure output,” he said.
The factory has marked their efforts in developing the support industry for automobile and motorbike sector, improving localisation rate.
An Phat Holdings also supplies parts for Toyota Viet Nam, Honda Viet Nam and Piaggio Viet Nam. It is co-operating with Toyota to improve localisation rate of use of local plastic parts. — VNS