MANILA: Vietnamese electric vehicle maker VinFast is opening six dealerships to sell cars, e-scooters and e-bikes in the Philippines, its newest market in South-East Asia, a company executive said on Friday (May 31).
"We come to the Philippine market with good quality product and accessible price," VinFast Philippines CEO Nguyen Thi Minh Ngoc told reporters during the company's launch of four electric cars and two-wheeled electric vehicles (EVs) in the country.
The first of six showrooms and dealerships will open in June, she said. The Philippines will be VinFast's first market outside of the United States for electric bikes.
The Philippines is aiming to spur EV sales amid volatile global petroleum prices and a push towards more sustainable mobility. The Southeast Asian nation has extended its no-tariff policy on EVs and parts through 2028.
VinFast will compete with China's EV giant BYD, which has tapped Philippine conglomerate Ayala Corp as its Philippine distributor.
"We will be here for the long term in the Philippine market," Ngoc said. VinFast is already in India, Indonesia and Thailand.
VinFast said in January during a visit of Philippine President Ferdinand Marcos Jr to Vietnam that it would start investing in the Philippines and open an EV business network in the country this year.
In the Philippines, 10,602 units of two- and four-wheeled EVs were sold in 2023, 10 times higher than the tally in 2022, government data show.
Cumulative sales of EVs will likely reach 6.6 million by 2030, led by two-wheeled vehicles, according to data from the Electric Vehicle Association of the Philippines.
Despite weaker global demand for EVs and a price war, VinFast said there have been no changes to its goal of delivering 100,000 cars globally this year, twice as many as it targeted in 2023, as it expands abroad.
The loss-making EV maker, however, is also considering delaying a $4 billion factory in North Carolina, Reuters reported on Thursday, citing a person briefed on the matter. - Bloomberg
