The Vietnamese Ministry of Trade said that auto manufacturer Chery signed a joint venture agreement with a Vietnamese company to establish a $800 million factory in Vietnam, becoming the first Chinese electric vehicle manufacturer to build a factory in Vietnam.
In a statement released after the signing ceremony, the Ministry of Trade said that Omoda & Jaecoo under Chery and Vietnamese company Geleximco will build a factory in Thai Binh province through a joint venture.
The annual production capacity of the factory is 200,000 vehicles, and it will produce Chery’s Omoda and Jaecoo electric vehicle models. The statement also said that the first phase of the project is expected to be completed in the first quarter of 2026.
The Ministry of Trade also said that Chery will import two electric vehicle models to Vietnam, which will be unveiled for the first time before the end of this year. Chery also sells cars in Europe and is considering building a factory in Italy.
The world’s largest electric vehicle manufacturer, BYD, is also seeking to build a factory in Vietnam, but Reuters reported last week that the company may slow down the plan.
