VinFast and Gotion High-Tech to produce EV batteries in Vietnam
The Vietnamese company plans to build its production facilities for battery and charging equipment in the US and Europe, as part of its global expansion strategy.
The Vietnamese automaker VinFast and Gotion High-Tech, a Chinese technology-driven company, will jointly carry out the research & development (R&D), and production of lithium iron phosphate (LFP) batteries in Vietnam.
|An overview of the signing ceremony between VinFast and Gotion High-Tech. Photo: Vingroup|
The strategic cooperation came from a Memorandum of Understanding (MOU) signed between two sides on August 23. They focus on the procurement of Gotion LFP batteries and discussion of the possibility to establish a Giga Factory - the first-ever LFP battery cell production plant in Vietnam.
LFP battery is currently the most mainstream battery technology in the global new energy vehicle market, with unique advantages of high safety and long life. LFP batteries can be produced without using expensive and rare materials such as cobalt and manganese that are harmful to workers and the environment. The price of LFP batteries is competitive, which reduces the production cost of electric vehicles, especially small and medium-sized vehicles.
For VinFast, exploring the local production of LFP batteries in Vietnam is part of the car maker’s efforts to establish a clean energy ecosystem and localize parts supply.
Thai Thanh Hai, Vice Chairwoman of Vingroup said: “The collaboration with such a prestigious battery manufacturer in the world as Gotion is among VinFast’s essential action plans for developing its smart electric cars and complete supply chains.
“Our ultimate objective is to establish a clean energy ecosystem, contributing to cutting carbon emissions in Vietnam as well as in VinFast’s global markets,” she added.
Chairman of Gotion High-Tech Zhen Li said the company will definitely use its cutting-edge technology and rich experience in battery manufacturing to fully support VinFast's electrification strategy.
To reinforce its electrification strategy, the Vietnamese automaker has been fostering collaborations with a number of prestigious partners around the world, including those from Israel, Taiwan, the US.
These ties are aimed at boosting R&D and application of the most advanced battery technologies, such as the solid-state battery, extreme fast charging, new materials, and battery designs. These technologies are expected to allow new batteries with high energy density, longer ranges for electric vehicles (EVs), superior safety, longer lifespan, cost optimization, and eco-friendliness.
VinFast also planned to build its production facilities for battery and charging equipment in the US and Europe, as part of its global expansion strategy. Vingroup, VinFast’s parent company, recently established VinES Energy Solutions JSC focusing on research and manufacture of batteries for electric vehicles.
Gotion High-Tech has founded eight R&D centers in China, the US, Japan, Singapore, Germany, and India.
- Foreign enterprises urge Vietnam to reopen
- HSBC facilitate $250 million investment in Vietnam unicorn
- Government-investment arm SCIC acquires 31% stake in Vietnam Airlines
- Vietnam to foster investment cooperation with Middle East
- Hanoi-based SHB sells its financial consumer arm to Thailand bank
- ADB finances US$60 million to improve climate resilience of infrastructures in Vietnam
- VinFast and Gotion High-Tech to produce EV batteries in Vietnam
- Boeing to open new office in Hanoi as part of its regional expansion
- Vietnamese Gov’t stipulates fields under State control post-privatization
- Efficient planning lays groundwork for investors to come: PM
Vietnam's State President arrives in New York for 76th UN General Assembly
Vietnam responds to World Tourism Day 2021 for inclusive growth
Mooncake heats up in Hanoi’s supermarket amid pandemic
Vietnam’s wood industry strives to extend its reach globally
Boeing 737 Max aircraft expected to fly in Vietnam soon
Skillful hands: get-rich-quick secret of Ha Thai lacquer craftsmen
5G carries Vietnam hope for future
Vietnam receives 1.5 million Covid-19 vaccine doses from France, Italy
Vn-Index set for upward trend from September 13-17