VinFast Announces Promo Program to Help Compete With Tesla

VinFast, a Vietnamese electric-vehicle maker, made waves in America before any of its vehicles are even on sale. The company’s debut announcement outlined a novel battery leasing program that involved confusing pricing and terms, but it later backed away from that plan. It’s not done fiddling with numbers just yet, however, as the automaker announced a new promotions program to help it compete against EV market leader Tesla.

Oddly, the announcement did not mention any promos or discounts, only that the automaker is “considering many promotion programs.” In a statement, a VinFast rep said the company’s decision is a reaction to competitors’ (Tesla) price cuts.

“As a new brand entering the market, when other brands reduce their prices, we have to come up with promotions to ensure VinFast’s competitiveness,” they noted.

The first 999 VinFast EVs reached our shores in November last year, and deliveries are scheduled to start this month. Initial reviews of the VF8 SUV have been mixed, but there is general agreement that it’s too expensive to compete in the rapidly intensifying EV battle. Tesla had become famous for raising prices over the last few years but reversed course in late 2022, with price cuts as significant as 20 percent in some cases. 

That puts pressure on all automakers, but the increased scrutiny on brand-new automakers and the already spotty vehicle reviews put VinFast in the hot seat in a way that very few manufacturers have to endure. The company is building a factory in North Carolina, which could help its vehicles become eligible for federal EV tax credits, but production won’t kick off at the facility until 2024. 

[Image: VinFast]

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