VinFast gets $1.2 bln incentive package for North Carolina car complex
Vietnamese carmaker VinFast has secured a $1.2 billion incentive package from the State of North Carolina for its electric vehicle manufacturing project in the U.S., the Vietnamese EV startup announced Friday.
The economic incentive package, signed by Governor Roy Cooper, is the largest ever granted in North Carolina. VinFast will be the first car factory and the largest economic development project in the state's history to date.
The facility will be developed at the Triangle Innovation Point in Chatham County with a first phase investment of about $2 billion.
Covering an area of 2,000 acres, the facility will have two main areas: one for assembling and producing electric cars and buses; and another for ancillary supplies.
It is envisaged that the VinFast factory will reach the capacity of 150,000 vehicles per year, creating an ecosystem of suppliers and thousands of jobs.
“North Carolina’s partnership with VinFast to bring good, clean energy jobs to North Carolina took an important step forward today with the signing of the budget,” a VinFast release quoted the Governor Roy Cooper as saying.
“Electric vehicles, like the ones VinFast will produce in Chatham County, are a critical component of our strategy to reduce greenhouse gas emissions and build North Carolina into a hub for the clean energy economy,” the governor said.
Van Anh Nguyen, CEO of VinFast Manufacturing U.S., said: “VinFast applauds North Carolina for its efforts and determination in advancing the state’s clean energy economy and carbon mitigation goals.
“This investment by the State of North Carolina is the starting point for a future marked by innovation, job creation and economic growth. Today exemplifies how a government and an industry can come together to pursue a brighter future.”
Phase one construction is scheduled to start in the second half of 2022 with production commencing in July 2024.
The factory reflects VinFast’s commitment to expanding its business and investments in key locations in the U.S. and elsewhere in the world.
Phil Berger, President Pro Tempore of the North Carolina Senate, said: “The North Carolina General Assembly is thrilled that VinFast chose North Carolina for its monumental expansion.
“There’s no question the business-friendly policies we’ve prioritized over the last decade played a pivotal role in VinFast’s plan to bring thousands of good-paying jobs to North Carolina,” he added.
Tim Moore, Speaker of the North Carolina House of Representatives, commented that the state was heading into “an exciting era of innovation” with one of its “newest corporate citizens.
“As our state continues its growth with new and expanding businesses, we will continue to work alongside VinFast as the company establishes roots in North Carolina and brings new jobs and opportunities for North Carolinians.”
VinFast has also received critical financial support from the City of Sanford, Chatham County and the Golden Leaf Foundation. The complete incentive package includes a job development investment grant of $316 million over 32 years; state appropriation of $450 million to cover site preparations, road improvements and additional water and sewer infrastructure; community college training worth $38 million; Golden Leaf Foundation grant of $50 million; and $400 million in incentives from Chatham County.
The Vietnamese EV maker has also received incentives of hundreds of millions of dollars from commercial organizations in the state that are excluded from the government budget.
VinFast recently signed agreements with Credit Suisse and Citigroup on underwriting advisory for global capital raising transactions to fund its U.S. plant. Each contract has a minimum value of about $2 billion, focusing on building the North Carolina facility and making other business investments in the U.S. market.
- Read More
Vietnam manufacturing sector sees 35% increase in Q3 job orders: Adecco
Vietnam’s manufacturing and sourcing sectors saw a substantial 35% year-on-year increase and a 52% quarter-on-quarter increase in Q3/2024 job orders, global workforce solutions provider Adecco said in a reseach report released Thursday.
Economy - Sun, November 3, 2024 | 9:00 am GMT+7
Construction majors to continue capitalizing on public investment projects
Vietnamese construction giants are expected to continue capitalizing on public investment projects for the remainder of this year after delivering strong performances in the third quarter, analysts say.
Companies - Sun, November 3, 2024 | 8:00 am GMT+7
Former Government Office chairman receives $7,900 bribe from property project
Mai Tien Dung, former Minister-Government Office Chairman, received a bribe worth VND200 million ($7,900) from Nguyen Cao Tri, owner of the Dai Ninh eco-resort and urban area project in Lam Dong province.
Society - Sat, November 2, 2024 | 9:13 pm GMT+7
Thai food giant CP enters public-private partnership to promote food system transformation
Thai-invested C.P. Vietnam Livestock JSC and the Partnership for Sustainable Agriculture Vietnam (PSAV) signed a memorandum of understanding Friday on working together to advance sustainable agriculture in the country.
Companies - Sat, November 2, 2024 | 7:16 pm GMT+7
Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year
Vietnam’s central province of Quang Ngai will work with the investor to have construction of VSIP II Quang Ngai, a facility based on the Vietnam-Singapore Industrial Park (VSIP) model, begin in August 2025.
Industrial real estate - Sat, November 2, 2024 | 3:47 pm GMT+7
Vietnam likely to grow 6.5% in 2024-2025: VinaCapital
VinaCapital, among the biggest foreign-run asset managers in Vietnam, has forecast the country’s economy to achieve 6.5% growth in both 2024 and 2025, with the composition of the expansion to change to more domestically driven factors next year.
Economy - Sat, November 2, 2024 | 2:00 pm GMT+7
Major Vietnamese developer Novaland appoints new CEO
Duong Van Bac, who joined Novaland as chief financial officer in August 2023, has been appointed general director, starting Friday.
Companies - Sat, November 2, 2024 | 10:24 am GMT+7
Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3
Ho Chi Minh City-based Bamboo Capital Group recorded an after-tax profit of VND331.2 billion ($13.1 million) in the third quarter of 2024, an astounding 36-fold expansion year-on-year.
Southeast Asia - Sat, November 2, 2024 | 9:41 am GMT+7
ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout
Vietnam Beverage, wholly owned by Thai Beverage (ThaiBev) will rake in VND1,374 billion ($54.26 million) worth of dividend from Ho Chi Minh City-based top brewer Sabeco.
Companies - Sat, November 2, 2024 | 9:13 am GMT+7
Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex
Leading Vietnamese steelmaker Hoa Phat had invested more than VND52.5 trillion ($2.08 billion) in its Dung Quat Iron and Steel Integrated Complex (Dung Quat 2) in the central province of Quang Ngai as of Q3/2024.
Industries - Sat, November 2, 2024 | 8:00 am GMT+7
Vietnam becomes Australia’s fastest-growing inbound market
The number of Vietnamese tourists to Australia has grown significantly after the Covid-19 pandemic, with nearly 178,000 reported in the 12 months to August 2024, according to a Friday press release by the Australian Minister for Trade and Tourism’s Office.
Southeast Asia - Fri, November 1, 2024 | 10:02 pm GMT+7
Study finds shift in Thai consumers’ spending patterns
Consumers in Thailand are shifting their spending focus to experiences and investments, according to the latest ASEAN Consumer Sentiment Study (ACSS) by United Overseas Bank (UOB).
Southeast Asia - Fri, November 1, 2024 | 10:00 pm GMT+7
Energy security, digitalization key to Indonesia's economic growth
The Indonesian government is prioritizing long-term economic growth through energy security, digitalization, and natural resource industrialization, according to Deputy Minister of Finance Thomas Djiwandono.
Southeast Asia - Fri, November 1, 2024 | 9:58 pm GMT+7
Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM
Prime Minister Pham Minh Chinh’s freshly ended six-day trip to the UAE, Saudi Arabia and Qatar has produced important outcomes, demonstrating the growing relations between Vietnam and the three Middle-East countries, Deputy Prime Minister and Foreign Minister Bui Thanh Son told the Vietnam News Agency.
Politics - Fri, November 1, 2024 | 9:25 pm GMT+7
Vietnam, Qatar look to tap potential for energy, oil & gas collaboration
Vietnam and Qatar have recognized the significant potential for further collaboration in multiple sectors such as energy, oil and gas, especially LNG, agriculture, Halal industry, and banking.
Politics - Fri, November 1, 2024 | 9:02 pm GMT+7
Thailand bans export of raw palm oil until December
Thailand's Department of Internal Trade has temporarily banned the export of raw palm oil due to reduced production caused by drought and plant diseases.
Southeast Asia - Fri, November 1, 2024 | 8:31 pm GMT+7