Vietnam Defense and News forum

Vietnam’s green future: expanding into the open sea, making more lands for the growing population

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Most of the audio products I have been buying lately have been the Vietnamese Sku variants. I haven't noticed any defects on my products so far, the build is good.

It used to be Chinese mostly priorly.
 
The US F4s phantom vastly outperformed and outgunned North Vietnam MIG21s. The US lost over 10,000 aircraft mostly due to high skilled North Vietnam air defense.
Tactics matter. That’s something Iran air defense can learn against the overwhelming numbers of the US and Israeli aircraft.

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Have you seen photos or videos of Vinfast's Argo Arrasate press line yet? That press line costs as much as ASML lithography machine. Vinfast ordered it 3 years ago, but as of this point, I have never seen that press line anywhere other than the Schuler press line in Hai Phong.

Vinfast's localization rate is very low due to the company not spending any money on R&D to research and produce any components at all; especially the battery and electric motor that can make up to 60% of the value of the vehicle. However, Vinfast spends a ton of money on marketing, building, and protecting their brand name relentlessly no matter how much money it costs them. I think their business strategy is that they are a very young company, so they have to ensure the quality of their vehicles is top-notch and a top-notch reliable vehicle needs proven and high-quality parts from foreign suppliers. They can't afford to produce anything even if they want to or able to due to the risk of faulty parts that can easily destroy their brand image. In my opinion, they are very conservative with this business strategy; build up a brand image with a reliable quality first, than risk producing a brand with shoddy quality. That's why the only work that they do is pressing the vehicle's body, welding, and painting. As they build up a reliable brand image to the public, their next step is to start replacing some components of the vehicle as you can see they start to build their own steel plant in Ha Tinh.....

A lot of people hate Vinfast and believe it will go out of business the next year since they first operated in 2018 and when that does not happen, they move the goal post to the next year, lol. My sister-in-law drives an early model of Vinfast Fadil and the car has never had even a minor issue, and now many of her colleagues also drive Vinfast electric vehicles. One thing about Vinfast is their after-sales service has no rivals; even for the gasoline version of my sister-in-law that they no longer sell. Vinfast is now the best-selling car in Viet Nam as they keep chipping away market share of the Korean and Japanese one year after another.
 
2ndstrike said:
Have you seen photos or videos of Vinfast's Argo Arrasate press line yet? That press line costs as much as ASML lithography machine. Vinfast ordered it 3 years ago, but as of this point, I have never seen that press line anywhere other than the Schuler press line in Hai Phong.

Vinfast's localization rate is very low due to the company not spending any money on R&D to research and produce any components at all; especially the battery and electric motor that can make up to 60% of the value of the vehicle. However, Vinfast spends a ton of money on marketing, building, and protecting their brand name relentlessly no matter how much money it costs them. I think their business strategy is that they are a very young company, so they have to ensure the quality of their vehicles is top-notch and a top-notch reliable vehicle needs proven and high-quality parts from foreign suppliers. They can't afford to produce anything even if they want to or able to due to the risk of faulty parts that can easily destroy their brand image. In my opinion, they are very conservative with this business strategy; build up a brand image with a reliable quality first, than risk producing a brand with shoddy quality. That's why the only work that they do is pressing the vehicle's body, welding, and painting. As they build up a reliable brand image to the public, their next step is to start replacing some components of the vehicle as you can see they start to build their own steel plant in Ha Tinh.....

A lot of people hate Vinfast and believe it will go out of business the next year since they first operated in 2018 and when that does not happen, they move the goal post to the next year, lol. My sister-in-law drives an early model of Vinfast Fadil and the car has never had even a minor issue, and now many of her colleagues also drive Vinfast electric vehicles. One thing about Vinfast is their after-sales service has no rivals; even for the gasoline version of my sister-in-law that they no longer sell. Vinfast is now the best-selling car in Viet Nam as they keep chipping away market share of the Korean and Japanese one year after another.
Click to expand...
not easy with R&D. Because it requires years of accumulation of knowledge, tons of money, elite universities, great companies. it’s better we do copy and paste, practice and improve.
 
Viet said:
not easy with R&D. Because it requires years of accumulation of knowledge, tons of money, elite universities, great companies. it’s better we do copy and paste, practice and improve.
Click to expand...
Do you remember Vinaxuki of the late 2000s? That's a prime example of trying to do too much, while having zero brand image, zero business strategy, zero politburo-level state protection, and of course zero money to take the initial and continuous loss beating. I'm absolutely certain Vinfast studied Vinaxuki's failure closely when they developed a strategy for Vinfast. Just as Pham Nhật Vượng have said several times in the past, sometimes you also have to wait for your "heavenly time" in order to be successful 😀
 
Top 10 best selling cars in April with Vinfast taking almost 77% of the Vietnamese market share
FB_IMG_1778599456447.jpg
 
2ndstrike said:
Do you remember Vinaxuki of the late 2000s? That's a prime example of trying to do too much, while having zero brand image, zero business strategy, zero politburo-level state protection, and of course zero money to take the initial and continuous loss beating. I'm absolutely certain Vinfast studied Vinaxuki's failure closely when they developed a strategy for Vinfast. Just as Pham Nhật Vượng have said several times in the past, sometimes you also have to wait for your "heavenly time" in order to be successful 😀
Click to expand...
The car brand? Yes, I remember. One of the worst cars I have ever seen. But anyway nothing special, usually in any business out of 10, only 1 succeeds, 9 fail. Vinfast certainly learns from other people mistakes. The guy is smart. He knows political backing is more important than having money.
 
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VinFast (NASDAQ: VFS) to sell Vietnam factory unit for $530M and go asset-light​


VinFast Auto Ltd. plans a major restructuring of its Vietnam operations, splitting design, R&D, brand and sales into a new subsidiary (VFVN) and then selling all shares of its current Vietnamese manufacturing arm VFTP to a purchaser group for about VND13,309.6 billion (approximately US$530 million).

After the Split, VFTP will hold the Vietnam manufacturing business and related debt, while VFVN will own global R&D, IP, after-sales and sales entities. A new Manufacturing Agreement will make VFTP an independent contract manufacturer of VinFast-branded vehicles on a cost-plus basis targeting roughly a 5% margin. VinFast expects completion by the third quarter of 2026, subject to shareholder and creditor approvals and other closing conditions.

The company plans to use the Share Transfer proceeds mainly to repay and extinguish about VND10,162.3 billion (approximately US$404.8 million) of a P-Note, keeping the balance to fund core activities such as product research and development, technology, brand building and sales. An independent financial adviser valued VFTP’s equity between approximately VND901 billion and VND15,298 billion, with a midpoint of VND2,653 billion, and concluded the negotiated price is fair from a financial perspective. The Board’s recommending directors urge shareholders to approve the Share Transfer at an all-virtual extraordinary general meeting scheduled for May 27, 2026.

Positive​

  • VinFast expects to receive approximately VND13,309.6 billion (about US$530 million) from the sale of VFTP, with plans to repay around VND10,162.3 billion (approximately US$404.8 million) of P-Note debt and retain remaining cash to fund core R&D, technology, brand and sales activities.
  • The deal moves VinFast’s Vietnam business toward an asset-light model, shifting capital-intensive manufacturing and related indebtedness into an independent entity while keeping control over product design, intellectual property and global commercial functions through VFVN.
  • An independent financial adviser valued VFTP’s equity with a midpoint of VND2,653 billion (about US$106 million) using discounted cash flow analysis, while the negotiated purchase price is based on net book value and sits within and above the midpoint of that valuation range, and was deemed fair from a financial standpoint.

Negative​

  • Following the restructuring VinFast will depend heavily on VFTP, a now third-party-owned manufacturer, for production under a cost-plus contract; any operational, financial or strategic issues at VFTP, whose new controlling shareholder has limited manufacturing experience, could materially disrupt vehicle supply.
  • Shareholders will not receive any direct distribution from the approximately US$530 million of proceeds, which are earmarked for debt repayment and reinvestment, while the announcement notes that the transaction’s pendency could unsettle customers, suppliers, employees and the trading price of VinFast’s shares.
  • The purchaser group includes the company’s CEO and entities associated with its controlling shareholders, who intend to vote in favor and can approve the Share Transfer even without broader minority support, raising potential governance and alignment concerns despite director abstentions and the external fairness opinion.
  • Risk factors highlight that the deal may not close on schedule or at all due to multiple conditions, that the company will incur additional transaction costs regardless of outcome, and that tax expense may rise as VFVN is expected to be subject to Vietnam’s standard 20% corporate income tax rate rather than VFTP’s prior 5% effective rate.

Insights​

Equity analyst​

VinFast shifts Vietnam plants to a third-party model, using $530M to cut debt.

VinFast is carving out Vietnam manufacturing into VFTP and selling it for about US$530 million, while retaining brand, R&D and sales in VFVN. VFTP becomes an independent, third-party-owned contract manufacturer under a cost-plus agreement targeting roughly a 5% margin.

Management intends to use roughly US$404.8 million of proceeds to repay a P-Note and keep the remainder to fund higher-margin activities such as product development and global sales. An independent adviser valued VFTP’s equity with a midpoint of about VND2,653 billion, below the agreed purchase price, and found the terms fair.

The transaction reduces capital intensity and balance-sheet exposure in Vietnam but increases reliance on a single external manufacturer whose new controlling shareholder has limited manufacturing experience. Completion requires shareholder and creditor approvals and is targeted by Q3 2026; until then, contractual covenants and execution risks around the Split and Manufacturing Agreement remain important.

Corporate governance specialist​

Large related-party sale adds conflicts but includes an external fairness opinion.

The purchaser group is led by Tuong Laiand includes VinFast CEO Pham Nhat Vuong as a minority investor. Vingroup, a controlling shareholder associated with Mr. Pham, also holds large blocks of exchangeable preference shares in VFTP and VFVN with detailed exchange-rate mechanics.

Several directors, including Mr. Pham and his son, abstained from the board vote due to differing interests, while other executives abstained to avoid perceived conflicts. However, controlling shareholders intend to vote in favor at the EGM, and their stake is sufficient for approval even if other shareholders oppose.

The board obtained a fairness opinion from Grant Thornton Vietnam and discloses extensive risk factors, including that shareholders will not directly receive any proceeds. Governance-sensitive investors may focus on how the Manufacturing Agreement is implemented post-closing and whether related-party dynamics influence future terms or performance.

https://www.stocktitan.net/sec-fili...rrent-report-foreign-issuer-5b58e77cc325.html
 

Vietnamese FM visits N. Korea as special envoy for country's leader​

North Korean leader Kim Jong-un, right, poses for a photo with Vietnam's Communist Party chief To Lam during a welcome ceremony in Pyongyang, Oct. 9, 2025, in this file photo released by the North's official Korean Central News Agency. Yonhap

North Korean leader Kim Jong-un, right, poses for a photo with Vietnam's Communist Party chief To Lam during a welcome ceremony in Pyongyang, Oct. 9, 2025, in this file photo released by the North's official Korean Central News Agency. Yonhap
By Yonhap
  • Published May 13, 2026 11:37 AM KST
Vietnam's top diplomat has arrived in North Korea as a special envoy for the country's top leader To Lam, Pyongyang's state media reported Wednesday.

Vietnamese Foreign Minister Le Hoai Trung and his delegation arrived in North Korea on Tuesday, according to the Korean Central News Agency (KCNA).

They were received at Pyongyang International Airport by Vice Foreign Minister Pak Sang-gil and Vietnamese Ambassador to North Korea Le Ba Vinh.

Trung is widely expected to brief North Korean officials on recent political developments in Vietnam, including Lam's continuation as Communist Party general secretary and his concurrent holding of the presidency.

The KCNA did not disclose the purpose of the visit. However, the trip comes after South Korean President Lee Jae Myung's visit to Vietnam last month, raising speculation that Hanoi could play a mediating role regarding inter-Korean relations.

The visit comes as ties between North Korea and Vietnam have gained momentum following Lam's trip to Pyongyang in October last year, which marked the first visit to North Korea by a Vietnamese top leader in 18 years.

At that time, Lam held summit talks with North Korean leader Kim Jong-un and attended celebrations marking the 80th anniversary of the founding of the Workers' Party of Korea.
 
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