VinFast Sales Surge 72% in H1 with New EV Model, Boosting Vietnam's Auto Market

Vietnamese electric vehicle (EV) maker VinFast on July 5 unveiled the VF 2, a compact urban electric car priced at 188 million VND (US$7,200) including the battery, as part of its strategy to make car ownership more accessible for Vietnamese consumers. The company said the broader footprint would improve access to electric vehicles and support the country's transition toward cleaner transport. The one-millionth vehicle, a red Feliz II, rolled off the production line at VinFast’s electric automobile and motorcycle manufacturing complex in the northern port city of Hai Phong. The magazine said the VF 2 retails at 188 million VND (US$7,200) with the battery included, making it one of the most affordable electric cars in the Vietnamese market. Vietnam's young population, dynamic market, and big growth potential are a perfect fit for the strengths that Korean micro-businesses bring in K-brands, technology, and service expertise, said KFME President Song Chi Young. With auto loan interest rates remaining competitive, stable vehicle supply, and an increasingly diverse product range, Vietnam's automotive market is expected to maintain its growth momentum through the remainder of 2026. SUVs, MPVs, and hybrid vehicles are likely to remain the main drivers of overall market sales. To convert these opportunities into growth, it is a must for Vietnam to continue improving its investment climate, upgrading logistics and energy infrastructure, accelerating digital transformation and developing a highly skilled workforce that meets requirement of emerging technology sectors, an expert has said. Vice Chairman of the provincial People's Committee Nguyen Huu Que said ESG is no longer a communications message or a cost burden, but an essential requirement for accessing global capital. Gia Lai has chosen ESG as a pillar for building new competitive advantages and achieving sustainable development. Vietnam Airlines said weather-related schedule changes are unavoidable and are made to ensure the safety of passengers and crew. Built on nearly 20 hectares at Huu Thanh Industrial Park, the facility is the company's largest and most advanced plant in Vietnam and the biggest production site in Suntory PepsiCo's Asian manufacturing network. The factory has a designed annual production capacity of over 1.24 billion litres and is equipped with highly automated production, filling and warehousing systems. With its enlarged development space, Ho Chi Minh City now combines strengths in urban development, industry and services with high-tech agriculture, the marine economy, logistics and diverse ecological areas. These conditions provide an ideal testing ground for UAV applications in urban management, land administration, environmental monitoring, disaster prevention and response, agriculture, logistics and public services. The projects, which have a combined investment of around 12 trillion VND (approximately US$460 million), comprise the expansion and upgrading of Provincial Roads DT769 and DT773, along with the construction of DT770B, all of which are expected to play a strategic role in the region's transport network. The city's tourism sector has continued to benefit from expanding air connectivity. In the first six months of this year, Da Nang welcomed nearly 9.77 million overnight visitors, up 22% year-on-year. International tourist arrivals exceeded 5.16 million, an increase of 28%. The Vietnam Association of Motorcycle Manufacturers (VAMM) announced on July 10 that its five member companies sold 638,431 motorcycles in the second quarter, up 4.4% from the same period last year. Despite headwinds from Middle East tensions that have pushed up freight and logistics costs, exports of wood and wood products were estimated at 1.53 billion USD in June, lifting first-half export turnover to 8.54 billion USD, up 4.4% from a year earlier, according to the Ministry of Agriculture and Environment (MAE). Despite the encouraging performance, Vietnam's exports remain heavily dependent on a limited number of major markets and product groups, while the domestic value added of many export products remains relatively low because of their reliance on imported raw materials and components. Speaking at the at the city's regular socio-economic press briefing on July 9, Deputy Head of the Ho Chi Minh City Export Processing and Industrial Zones Authority (HEPZA) Tran Viet Ha said that foreign direct investment (FDI) accounted for nearly 1.6 billion USD of the total, including 65 newly licensed projects worth more than 867 million USD and 83 existing projects that added over 707 million USD in registered capital. With the current trading band of +/- 5%, the ceiling rate applicable for commercial banks during the day is 26,475 VND/USD, and the floor rate 23,953 VND/USD. The initiative marks a shift from traditional investment promotion toward a digital ecosystem that standardises information and provides transparent connections with investors worldwide. Textile and seafood exporters are struggling to retain enough workers to meet recovering export demand, underscoring a shift in constraints from demand to workforce capacity. National flag carrier Vietnam Airlines will increase frequencies on several routes to Japan, the Republic of Korea (RoK) and Taiwan (China) to meet rising demand for tourism, business and family visits between Vietnam and Northeast Asia. Israeli businesses and experts introduced a wide range of technologies and solutions for sustainable agricultural development, including smart irrigation systems, greenhouse technologies, crop varieties, microbial technologies, post-harvest solutions, aquaculture technologies, and digital transformation in agriculture. The maximum retail price of E5RON92 was set at 19,191 VND (0.73 USD) per litre, down 539 VND from the previous ceiling and 812 VND lower than E10RON95-III. The latter was capped at 20,003 VND per litre, a decrease of 412 VND. Copyright, VietnamPlus, Vietnam News Agency (VNA) Editor-in-chief, Mr. Tran Tien Duan.