ASIATODAY.ID, SUBANG — Indonesia has reached a major milestone in strengthening its electric vehicle (EV) ecosystem as PT VinFast Automobile Indonesia officially commenced operations at its manufacturing plant in Subang, West Java on Monday, December 15, 2025.
Backed by an investment of approximately USD 240 million (IDR 3.8 trillion), the facility highlights Indonesia’s accelerating transition toward a green economy and a more competitive manufacturing sector.
The inauguration was held during the Grand Opening of the VinFast Manufacturing Plant, attended by Indonesia’s Coordinating Minister for Economic Affairs Airlangga Hartarto, who emphasized the strategic importance of the investment for bilateral economic cooperation.
“The inauguration of VinFast’s production facility carries strategic significance in strengthening economic cooperation between Indonesia and Vietnam,” Minister Airlangga said.
VinFast, Vietnam’s leading electric vehicle manufacturer, has expanded its presence in Indonesia through the establishment of an integrated EV production facility. The investment reflects the deepening economic ties between the two ASEAN economic powers, whose combined gross domestic product (GDP) approached USD 2 trillion in 2024, alongside steadily growing bilateral trade.
Minister Airlangga noted that Vietnamese investment in Indonesia has increased significantly in recent years, with VinFast emerging as a flagship project delivering tangible economic benefits.
“VinFast is a key investment that contributes to job creation and strengthens Indonesia’s domestic electric vehicle industry,” he said.
According to Indonesia’s Online Single Submission (OSS) system, the VinFast manufacturing facility has an installed production capacity of 50,000 electric vehicles per year and is expected to employ up to 1,700 local workers, positioning it as one of the most significant EV production bases in the ASEAN region.
The Indonesian government also welcomed VinFast’s second-phase investment plan valued at approximately USD 1.08 billion (IDR 17 trillion). The expansion aims to increase annual production capacity from 50,000 to 350,000 vehicles, including the development of an electric scooter manufacturing plant, reinforcing Indonesia’s role as VinFast’s regional production hub in Southeast Asia.
Looking ahead, the government expects VinFast to further increase the use of locally sourced components through partnerships with domestic industries, while serving as a long-term strategic investment that reflects Vietnam’s confidence in Indonesia’s investment climate.
“We hope VinFast will continue to strengthen collaboration with local industries and become a sustainable, long-term strategic partner in Indonesia’s industrial transformation,” Minister Airlangga concluded.
The inauguration ceremony was attended by senior government officials and diplomats, including Deputy Foreign Minister Arrmanatha C. Nasir, Vietnamese Ambassador to Indonesia Ta Van Thong, Indonesian Ambassador to Vietnam Adam Mulawarman Tugio, West Java Vice Governor Erwan Setiawan, South Sulawesi Governor Andi Sudirman Sulaeman, Subang Regent Reynaldi Putra Andita, VinFast Asia CEO Pham Sanh Chau, VinFast Automobile Indonesia CEO An Van Nhat, as well as other policymakers and industry stakeholders. (AT Network)
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