Vietnamese electric vehicle manufacturer VinFast has officially inaugurated its new manufacturing facility in Subang, West Java, Indonesia, marking a key step in its Southeast Asian expansion strategy. The opening ceremony was held on December 15, reflecting the company’s ambition to strengthen its presence in one of the region’s largest automotive markets.
The Subang facility, built on a 171-hectare site, represents a total investment exceeding USD 1 billion. This investment also covers ongoing expansion plans designed to significantly increase production capacity beyond the initial levels. The plant is VinFast’s fourth operational factory globally and its first manufacturing base in Southeast Asia outside of Vietnam.
Phase 1 of the project, supported by an investment of over USD 300 million, has equipped the plant with a fully integrated production line. This includes welding, painting, assembly, quality inspection, and logistics operations.
With this initial setup, the factory can produce 50,000 vehicles annually, with the potential to scale up as operations expand.
VinFast aims to increase production capacity to 350,000 units per year as part of its broader expansion roadmap. Company executives have stated that this investment reflects confidence in growing EV demand within Indonesia and across Southeast Asia, as well as the long-term potential for regional market growth and exports.
Industry analysts note that the plant’s launch comes amid rising competition in Indonesia’s EV sector, where both global and regional manufacturers are investing heavily to capture market share.
VinFast’s strategy also emphasizes supporting localisation efforts, aiming to increase local content in vehicles and foster a broader EV ecosystem.
The new facility is expected to generate thousands of direct and indirect jobs, contributing significantly to economic development in West Java.
In addition to producing key EV models for regional consumers, VinFast has indicated that the plant will also support future exports to neighboring Southeast Asian markets as part of its long-term growth strategy.
