The plant is poised to significantly strengthen VinFast's local competitiveness, accelerate localization 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.
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At the inauguration ceremony (Photo: laotiantimes.com) |
Bringing the plant into operation on schedule highlights VinFast's firm commitment to promoting localization 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 localization 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 localization 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 Center 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 localization.
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 center 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 electric vehicle value chain in Indonesia, contributing to the elevation of Southeast Asia's position on the global EV industry map.
Source: VNA