Vietnam considers making electric cars

• China's Tencent takes 5 percent stake in electric-car maker Tesla
• Electric cars used in Sa Dec flower village

The Tesla Model X, worth VND12 billion, has been imported into the country. As declared by the manufacturer, the car can travel 295 miles, or 400 kilometers, on one electricity tank. It takes eight hours to charge a battery.

To ensure the normal operation of electric cars, there must be a network of battery charge stations. 

The imported electric cars are only being used in cities, for a distance of 100 kilometers or so.

Within the framework of the 2017 investment promotion conference in Thanh Hoa province, a memorandum of understanding (MOU) was signed between DiMora Enterprises, LLC from the US and Thanh Hoa’s authorities for the construction of an electric car factory, the first of its kind in Vietnam.

The project would have the investment capital of $500 million, expected to be located in Nghi Son Economic  Zone in Thanh Hoa province. In the first phase of operation, the factory would churn out 10,000 products a year, mostly 5-7 seater electric cars, while the figure would increase to 50,000 in the second phase.

Mitsubishi Motor also wants to manufacture electric cars in Vietnam. At the meeting with Prime Minister Nguyen Xuan Phuc recently, Osamu Masuko, CEO of the conglomerate, expressed the willingness to develop electricity-used cars in Vietnam, saying that the products are suitable to the Vietnam.

Some sources said IMG Innovations, a subsidiary of IMG, is also considering developing the project on making Tesla electric cars in Vietnam.

Five years ago, local newspapers reported that Russian automobile manufacturer Yo Auto was going to sign a cooperation agreement with a Vietnamese partner on building a factory specializing in making electric cars. The factory is expected to have the capacity of 100,000 cars a year.

Mail Linh taxi group in April 2016 signed a contract on purchasing 100 electric cars from Renault. The cars have the capacity of 95 horse power, can reach the maximum speed of 135 kilometers per hour and run 200 kilometers for every battery charge.

Mai Linh plans to replace the current cars with 10,000-20,000 electric cars in the next five years.

Analysts believe that despite the great advantages, electric cars would not be favored in Vietnam in the near future.