VinGroup president decides to put his personal money back into VinFast
It is not easy to start a business in the automotive sector. Elon Musk showed us that. If Tesla is today a manufacturer which performs well in terms of sales and which registers profits, the very first beginnings of the company were not very glorious. The controversial billionaire, founder of PayPal and SpaceX, lost most of his personal fortune there. Some then tried to follow him, but did not demonstrate a really marked success.
However, if VinFast finally succeeds in penetrating the global auto market as it claims to do, the president of its parent company, VinGroup, could go down in history as one of those billionaires who managed to set up a automobile division. After announcing that he no longer wants to spend his personal fortune in VinFast, Pham Nhat Vuong tells us that he finally intends to reinject money into the company.
If VinFast has been the victim of several production delays, approval problems for the North American market and layoffs on our continent, the manufacturer seems to be ready to settle in our market.
However, the war is far from over, and Vietnam’s richest businessman understands that. Recall that, to date, Pham Nhat Vuong and his investors have injected $8.2 billion into VinFast. The result of these investments since the manufacturer’s inauguration in 2017? Only 93,000 vehicles and 162,000 electric scooters globally.
Mr. Vuong nevertheless seems sure that VinFast is ready to conquer the world markets, for which he has recently announced that he wants to invest an additional $1 billion from his personal fortune. In total, by combining its contribution with that of private investors, it is an additional $2.5 billion to enable VinFast to grow.
We tested and conclude that the vehicle is ready to settle in the market because of its warranty, its degree of refinement, its on-board technology and its versatility, but we also find that the manufacturer must first make its evidence and correct a few shortcomings before actually competing against the tenors of the category.
At the time of this writing, 781 VF 8s were arriving at the Port of Vancouver to fill the first Canadian orders.
