Vietnam’s Ministry of Industry and Trade is seeking feedback on a VND23.69 trillion (US$1 billion) battery cell production project within Vingroup’s VinFast automobile production complex in Hai Phong City.
The trade ministry recently sent a document to the Ministry of Science and Technology and the Ministry of Transport for opinions about the project.
The project is expected to be built within the VinFast automobile production complex at Dinh Vu-Cat Hai Economic Zone on Cat Hai Island off Hai Phong City, according to the report of Vinhomes Industrial Zone Investment JSC (VHIZ), a subsidiary of Vingroup.
In a document sent to the Ministry of Industry and Trade, VHIZ stated it had completed and supplemented necessary paperwork in accordance with the law on investment, construction, environmental protection, and fire and explosion prevention.
The firm asked the trade ministry to appraise the report in accordance with the law.
The project will produce cells to supply VinFast's car and motorbike battery assembly factory.
The battery production will help VinFast ensure the resources needed for the production and business plans of electric vehicle products.
The project will use technology developed by Vingroup's research institute, with the main equipment in the production line imported from South Korea to meet CE and UL standards.
This is a high technology that is widely used in the world, has never been applied in Vietnam, and is not on the list of restricted technologies according to regulations.
VinFast's battery cell products are also researched, developed, and manufactured to meet international standards, including the UN 38.3 Certification for lithium batteries.
In order to ensure an adequate and stable supply of raw materials for production, VinFast has signed cooperation agreements with partners specializing in manufacturing and supplying materials for battery cell production in major markets such as Japan, South Korea, and China.
VinES Energy Solutions JSC, another subsidiary of Vingroup, recently initiated the construction of LFP (lithium ferro-phosphate) battery cell factory at Vung Ang Economic Zone in north-central Ha Tinh Province.
Costing nearly VND6.3 trillion ($267 million), the project covers an area of 14 hectares and has the capacity of 5 GWh per year, equivalent to about 30 million battery cells a year.