Vietnam’s largest conglomerate Vingroup said on Friday its car unit was in early stage talks with Taiwan’s Foxconn about working together and that any partnership formed would focus on developing batteries and electric car parts.
Foxconn has proposed acquiring EV production lines owned by the unit VinFast, two sources familiar with the matter told Reuters on condition of anonymity as they were not authorised to speak to the media.
But VinFast prefers a partnership as it is keen to brand itself as an eco-friendly automaker and wants to retain its EV business, one of the sources said.
“Vingroup has received proposals from Foxconn but nothing is concrete yet. The partnership, if any, will focus on developing the batteries and electric car parts,” a spokesman for Vingroup said.
“No decision on working together to produce EVs has been made yet.”
Foxconn declined to comment.
The world’s largest contract manufacturer and Apple Inc supplier has outlined plans to become a major provider of parts and services in the global EV market and any agreement with VinFast would follow deals with Fiat Chrysler and EV startups.
Its ambitions threaten to shake up the industry, offering Apple and other non-traditional players a shortcut to competing in the vehicle market.
VinFast became Vietnam’s first fully fledged domestic car manufacturer when its first gasoline-powered models built under its own badge hit the streets in 2019. Read More