China-invested Vietnam Yadea Electric Motorcycle Company Limited kicked off the construction of a $100 million electric bike factory in Vietnam’s northern province of Bac Giang on Sunday.
The factory, Yadea’s second in Bac Giang province, is located in Tan Hung Industrial Park. Construction of the first plant in Quang Chau Industrial Park began in 2019 and reached the milestone of churning out 100,000 products in August 2023.
The latest facility, covering 23.2 hectares, is set to enter operation in 2025, with an annual capacity of two million units, quadruple that of the Quang Chau factory. The plant, utilizing robotic and automated production line technology, is set to employ 3,000 people.
Yadea’s expansion in Vietnam follows the country's commitment to a net-zero carbon emissions target by 2050 and a goal of all road traffic being electric-powered.
Bac Giang attracted foreign direct investment of $3.02 billion in 2023, up 148.3% year-on-year, according to the Ministry of Planning and Investment. So far, China has been the biggest investor with $5.14 billion in 227 projects, followed by South Korea with $2.1 billion in 300 projects, according to provincial data.