VinFast Picks North Carolina For $2B Electric Vehicle Assembly Plant

In the state's largest-ever economic development project, the Vietnamese electric vehicle maker will create 7,500 jobs at its first North American plant.

VinFast has selected North Carolina for its first North American automotive assembly and battery manufacturing plant. The Hanoi, Vietnam-based auto manufacturer will create 7,500 jobs and invest up to $2 billion in phase 1 of its project at the Triangle Innovation Point megasite in Chatham County. It will be North Carolina’s first car manufacturing plant and is the largest economic development announcement in the state’s history.

“North Carolina’s strong commitments in building a clean energy economy, fighting climate change and reducing greenhouse gas emissions in transportation make it an ideal location for VinFast to develop its premium, smart and environmentally friendly EVs,” said Le Thi Thu Thuy, Vingroup Vice Chair and VinFast Global CEO. “Having a production facility right in the market will help VinFast to proactively manage its supply chain, maintain stabilized prices and shorten product supply time, making VinFast’s EVs more accessible to customers, contributing to the realization of local environmental improvement goals.”

VinFast VF 9
VinFast VF 9 (Source: VinFast)

For Phase 1 of the project, VinFast will create a major manufacturing center on a 1,977-acre site with three main areas: electric cars and buses production and assembly, EVs batteries production, and ancillary industries for suppliers. Construction will start in 2022 after the construction permit is granted, with production expected to start in July 2024. Vehicles to be produced at the site include the VinFast VF 9, a 7-passenger all-electric Sport Utility Vehicle (SUV); and the VinFast VF 8, a 5-passenger, all-electric mid-size SUV.

“North Carolina is quickly becoming the center of our country’s emerging, clean energy economy,” said Governor Roy Cooper. “VinFast’s transformative project will bring many good jobs to our state, along with a healthier environment as more electric vehicles take to the road to help us reduce greenhouse gas emissions.”

The North Carolina Department of Commerce coordinated the state’s recruitment of VinFast. Other state, regional, and local organizations working on the project include the Economic Development Partnership of N.C., the North Carolina General Assembly, the North Carolina Community College System, the North Carolina departments of Transportation and Environmental Quality, the North Carolina State Ports Authority, the North Carolina Railroad Company, the GoldenLEAF Foundation, the Triangle J Council of Governments, Duke Energy, Dominion Energy, CSX, Chatham County, the City of Sanford, and the Chatham County Economic Development Corporation.

“Automotive assembly plants are incredible engines for economic growth, due to the positive ripple effects they create across a region’s economy,” said North Carolina Commerce Secretary Machelle Baker Sanders. “I’m so pleased that VinFast has decided to launch their North America manufacturing operations from our state, and we’ll work hard to make sure they find the skilled workforce they’ll need to grow and thrive in North Carolina.”

VinFast’s North Carolina project will be facilitated in part by a Transformative Job Development Investment Grant (JDIG) approved by the state’s Economic Investment Committee. The JDIG agreement authorizes the potential reimbursement to the company of up to $316.1 million, paid over a time period of 32 years.

VinFast’s JDIG agreement calls for moving as much as $36.6 million into the state’s Industrial Development Fund – Utility Account. The Utility Account helps rural communities finance infrastructure upgrades to attract future business. The state also anticipates providing as much as $450 million to cover site preparations, road improvements, and additional water and sewer infrastructure.