Vietnamese carmaker VinFast recently started the construction of its second electric vehicle plant in Vietnam, set to become operational in July 2025, Kallanish reports.

The company said in a statement the project in the central province of Ha Tinh will have an initial production capacity of 300,000 units/year. This can be doubled in the following phases, creating up to 15,000 jobs.

The VND 7.3 trillion ($290 million) project will produce VinFast’s two most popular models, the VF 3 and VF 5.  The automaker’s first plant in Vietnam will provide supporting components such as chassis, engines and electronic components to the plant in Hai Phong, the northern port city. Batteries will be partially supplied by its VinES battery factory co-located in the Vung Ang Economic Zone.

If construction is complete in eight months, as planned by VinFast, the company will create a new world record in the auto manufacturing industry, it says. Works will be carried out by Vinhomes, the construction unit of VinFast’s parent company, Vingroup.

The troubled carmaker, which is also planning an EV and battery plant in the US, has recently received a new capital injection from its major shareholder – its founder and ceo Pham Nhat Vuong. A total of $3.5 billion was secured, including funds from Vingroup.

Nguyen Viet Quang, vice chairman and general director of Vingroup says VinFast has become the No.1 carmaker in Vietnam. “Demand in international markets is also growing rapidly, so the construction of an additional electric car factory in Ha Tinh will create a solid foundation for an important and explosive development phase of VinFast in the coming time,” the executive adds.

Additionally, Vingroup plans to develop a VND 40 trillion logistics and port complex in Vinh An, to facilitate exports as the carmaker expands into new markets and pursues assembly plans in other Asian nations.

In the first nine months of the year, VinFast delivered fewer than 45,000 cars worldwide.