BYD intends to build a manufacturing facility for car parts in Vietnam in an attempt to cut down its dependence on China and boost its supply chain in Southeast Asia.
It has been reported that the company plans to invest more than $250 million in Vietnam and the investment aims to expand BYD Auto’s parent BYD Co’s presence in the country.
The company has already been expanding in Asia, with facilities in Singapore and Japan, as well as in Europe. It manufactures plug-in hybrids and all-electric EVs.
With its investment in Vietnam, BYD plans to boost capacity, rein in costs and diversify production from its operations in China, which is witnessing strong demand for EVs.
Sources have said that discussions are underway to choose a location for the Vietnam facility.
BYD intends to lease 80ha of industrial land, which will more than double its footprint in the country, where it currently has leased 60ha.
Reportedly, the new Vietnam plant will export EV components to the assembly plant to be constructed in Thailand besides serving the local market.