Kim Long Motor signs deal with Changan Automobile to build car plant

Kim Long Motor signs deal with Changan Automobile to build car plant

Kim Long Motor Hue JSC has tied up with China’s Changan Automobile Co., Ltd. to construct a 5-7-seater passenger vehicle manufacturing plant.

On January 14, Kim Long Motor and Changan Automobile held a ceremony to announce construction plans for the Kim Long Changan Vietnam 5-7-seater passenger vehicle manufacturing plant. The event opens up extensive cooperation opportunities and demonstrates the parties’ commitment to providing new energy vehicles that meet green mobility demands in Vietnam.

The plant will cover 30 hectares within the Kim Long Motor Hue Automotive Complex in Thua Thien – Hue province. With a designed capacity of 50,000 vehicles annually, the factory will implement Changan’s advanced production technology, aiming for a localisation rate of 40 per cent in the initial phase and 80 per cent by Q2 2026. The plant is scheduled to commence construction in 2025, generating thousands of jobs and contributing to local economic and social development.

The strategic cooperation between the two sides will focus on key pillars, including selecting unique product ranges, developing a distribution system that meets brand standards, and systematically investing in the construction of the plant.

Kim Long Motor and Changan Automobile will select internationally successful products suitable for the Vietnamese market, starting with the DEEPAL brand. Five models are expected to launch within the next three years to meet Vietnamese consumers’ demand for green and smart mobility. In parallel, both parties will jointly plan a network of 80 showrooms across the country offering a consistent global experience.

Wang Hui, vice president of Changan Automobile Group, shared, “This collaboration with Kim Long Motor Hue marks a crucial step in Changan Automobile’s globalisation strategy, and will serve as an important starting point for Changan Automobile’s entry into the Vietnamese market. Both parties will engage in extensive cooperation in areas such as product technology, brand marketing, supply chain, OEM partnerships, social responsibilities, and more.”

Dao Viet Anh, general director of Kim Long Motor, stated, “2024 has witnessed a strong transformation in Vietnam’s automotive market, particularly the rise of electric and new energy vehicles. This presents tremendous opportunities alongside significant challenges. With over 163 years of experience and superior technological capabilities, Changan Automobile.Kim Long Motor is committed to leveraging all resources, technology, and close cooperation with Changan Automobile to achieve the shared goals, quickly putting the Kim Long Changan Vietnam 5-7-seater passenger car manufacturing plant into operation, and writing a new chapter in Vietnam’s automotive industry together.”

VIR

_{Images are for reference only.Images and contents gathered automatic from google or 3rd party sources.All rights on the images and contents are with their legal original owners.}