PHILIPPINES — Vietnamese conglomerate Vingroup, parent of electric vehicle maker VinFast, is planning a $500-million investment to build an EV manufacturing plant in the Philippines. The Department of Trade and Industry confirmed the proposal, which includes an initial annual production capacity of 200,000 vehicles.
A Major Manufacturing Push
Construction is targeted to begin in the first quarter of 2027, with development expected to take 12 to 18 months. The facility aims to supply both the domestic market and export destinations, integrating the Philippines into Vingroup’s regional manufacturing footprint.
Vingroup also plans to introduce electric scooters locally, expanding its lineup beyond four-wheeled EVs. The DTI outlined available incentives under the CREATE MORE Act and expedited regulatory processing through the Green Lanes program. Trade Secretary Cristina Roque said the agency would facilitate the investment and help address compliance requirements.
Sales Explode on Fuel Volatility
The announcement comes as VinFast Philippines projects sales to exceed 8,000 units this year, a staggering 6,856 percent increase from just 115 units sold in 2025. The brand has already moved 5,417 units from January to September, making it the country’s top battery EV brand with a 33.84 percent market share.
Deputy CEO for Sales Victor Jose Vela attributed the surge to high fuel prices driven by Middle East tensions. He noted that consumers are actively seeking electrified alternatives. The VF3 mini SUV remains the bestseller, accounting for nearly 70 percent of total volume.
Expanding Lineup and Digital Retail
To sustain momentum, VinFast will launch the all-new VF8 in November, with three to four additional models arriving within six months. The company is also rolling out an online-to-offline purchasing platform exclusive to Metro Manila, allowing customers to order vehicles directly online.
O2O Deputy CEO Roxildes Lacerna stressed that the digital channel complements existing dealerships rather than competing with them. VinFast currently operates around 40 dealerships and targets 60 by year-end.
Supply Chain and Regulatory Outlook
Vingroup’s proposed plant remains subject to regulatory approvals. The DTI has not disclosed the location, job projections, or specific local sourcing commitments. However, the investment signals growing confidence in the Philippines as an EV manufacturing hub.
