VinES, the energy solutions division of Vingroup, and battery company Gotion have broken ground on a new 5GWh battery factory in Vietnam, to create “battery supply autonomy” for the local production of EVs.
VinES, a subsidiary of Vingroup, and its automotive subsidiary VinFast joined Gotion High-Tech to announce this week they have broken ground on construction in the Vietnam Ha Tinh Economic Development Zone.
The new $US275 million ($A414 million) battery factory is a joint venture between VinES and Gotion and will supply electric vehicle batteries for VinFast.
Measuring in at 14 hectares, or 34.5 acres, the factory is expected to enter operation by the end of 2023 and is designed to reach production capacity of 5GWh per year.
When completed, the new factory will be the first factory in Vietnam to produce lithium iron phosphate (LFP) battery cells.
The new LFP factory will join a 20-acre lithium-ion battery factory that VinES began construction in December of 2021 and which is expected to begin operations next month.
VinES CEO Pham Thuy Linh says the factory “is an essential component in creating battery supply autonomy for VinFast EVs,” as well as for VinES to grow as an energy solutions company.
“Located next to the VinES battery pack manufacturing in the Vung Ang Economic Zone, this new factory will complete the closed loop production of LFP Batteries in Vietnam, thereby improving localization for VinFast’s EVs and optimizing production efficiency,” he said.
“In addition, the factory will also open up new development opportunities for the Vietnamese EV and clean energy industry.”
Keyword: Work begins on VinFast’s huge 5GWh EV battery factory in Vietnam