VinFast and General Motors (GM) announced Thursday a landmark strategic partnership agreement aimed at driving long-term growth and expansion for GM’s Chevrolet brand and VinFast in Viet Nam.
As part of the alliance, VinFast, a subsidiary of Vingroup, will become the exclusive distributor for the Chevrolet brand in Viet Nam. Using Vingroup’s unmatched domestic retail presence and the existing Chevrolet dealer network, VinFast will drive the Chevrolet brand forward while rapidly expanding its own local operations and leading the Vietnamese automotive industry into a new era.
VinFast will assume ownership of GM’s Ha Noi factory, and will implement a significant investment programme to build an all-new, global small car licensed from GM which will be manufactured and sold under the VinFast brand. Production of this vehicle will begin in 2019, greatly increasing capacity and output at the Ha Noi plant and growing the manufacturing base of the dynamic VinFast operations.
GM will become a preferred automotive technology provider to VinFast, opening potential pathways for future product sharing and technology transfer, and providing opportunities to drive both brands forward.
“We are incredibly excited about the opportunities presented by this landmark announcement,” VinFast CEO Jim DeLuca said.
“VinFast is pleased to be driving the rapid expansion of Viet Nam’s domestic automobile industry.”
“Our vision is to build an automobile manufacturing ecosystem that will include assembly plants, local automotive suppliers and dealers, and a string of supporting industries,” he said. “Our plan is to launch a portfolio of five VinFast vehicles in 2019 and this strategic partnership is integral to that. This partnership will act as a catalyst as we work tirelessly to bring our VinFast vision to life.”
Meanwhile, GM International Executive Vice-President and President Barry Engle cited VinFast as the best choice for his company to partner with.
“The automotive industry in Viet Nam is set to become a key growth engine for economic development and we now have the strongest possible local partner in VinFast to grow Chevrolet and drive our brand forward,” Engle said.
Chevrolet’s extensive national dealer network will continue to serve customers around the country and GM is actively working to expand its Chevrolet vehicle portfolio in Viet Nam.
“We are very excited about the opportunity to play a key role in developing the automotive industry in Viet Nam,” Engle said. “The GM-VinFast strategic partnership will best position the Chevrolet brand and dealer network for long-term growth in Viet Nam by leveraging GM’s global scale and expertise, married with VinFast’s domestic strength and insight.”
VinFast and GM will work together closely to ensure a smooth transition for customers, employees, and suppliers, as well as dealers and other stakeholders. The transfer for the GM Viet Nam operation – including the Ha Noi plant, dealer network and employee base – is expected to happen by the end of 2018.
Chevrolet customers will continue to receive service, parts, and warranty support from their local Chevrolet dealers. During the handover period, GM Viet Nam employees will continue to be employed under VinFast. — VNS