Sunday, November 18 2018

VietNamNews

VinFast, GM sign strategic partnership agreement

Update: June, 28/2018 - 16:45
The signing of strategic partnership agreement is expected to drive long-term growth and expansion for GM’s Chevrolet brand and VinFast in Việt Nam. — Photo Vingroup
Viet Nam News

HÀ NỘI — VinFast and General Motors (GM) announced Thursday a landmark strategic partnership agreement aimed at driving long-term growth and expansion for GM’s Chevrolet brand and VinFast in Việt Nam.

As part of the alliance, VinFast, a subsidiary of Vingroup, will become the exclusive distributor for the Chevrolet brand in Việt Nam. Using Vingroup’s unmatched domestic retail presence and the existing Chevrolet dealer network, VinFast will drive the Chevrolet brand forward while rapidly expanding its own local operations and leading the Vietnamese automotive industry into a new era.

VinFast will assume ownership of GM’s Hà Nội factory, and will implement a significant investment programme to build an all-new, global small car licensed from GM which will be manufactured and sold under the VinFast brand. Production of this vehicle will begin in 2019, greatly increasing capacity and output at the Hà Nội plant and growing the manufacturing base of the dynamic VinFast operations.

GM will become a preferred automotive technology provider to VinFast, opening potential pathways for future product sharing and technology transfer, and providing opportunities to drive both brands forward.  

“We are incredibly excited about the opportunities presented by this landmark announcement,” VinFast CEO Jim DeLuca said.

“VinFast is pleased to be driving the rapid expansion of Việt Nam’s domestic automobile industry.”

“Our vision is to build an automobile manufacturing ecosystem that will include assembly plants, local automotive suppliers and dealers, and a string of supporting industries,” he said. “Our plan is to launch a portfolio of five VinFast vehicles in 2019 and this strategic partnership is integral to that. This partnership will act as a catalyst as we work tirelessly to bring our VinFast vision to life.”

Meanwhile, GM International Executive Vice-President and President Barry Engle cited VinFast as the best choice for his company to partner with.

“The automotive industry in Việt Nam is set to become a key growth engine for economic development and we now have the strongest possible local partner in VinFast to grow Chevrolet and drive our brand forward,” Engle said.

Chevrolet’s extensive national dealer network will continue to serve customers around the country and GM is actively working to expand its Chevrolet vehicle portfolio in Việt Nam.  

“We are very excited about the opportunity to play a key role in developing the automotive industry in Việt Nam,” Engle said. “The GM-VinFast strategic partnership will best position the Chevrolet brand and dealer network for long-term growth in Việt Nam by leveraging GM’s global scale and expertise, married with VinFast’s domestic strength and insight.”

VinFast and GM will work together closely to ensure a smooth transition for customers, employees, and suppliers, as well as dealers and other stakeholders. The transfer for the GM Việt Nam operation – including the Hà Nội plant, dealer network and employee base – is expected to happen by the end of 2018.

Chevrolet customers will continue to receive service, parts, and warranty support from their local Chevrolet dealers. During the handover period, GM Việt Nam employees will continue to be employed under VinFast. — VNS

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