PETALING JAYA: Vietnamese electric vehicle (EV) maker VinFast is pushing ahead with plans to expand into Malaysia and other Southeast Asian markets, even as the company reported a wider net loss in the final quarter of 2025.
In a Reuters report, the carmaker said it is targeting Malaysia, alongside Indonesia, Thailand and the Philippines, as part of its regional growth strategy while aiming to deliver at least 300,000 EVs globally this year.
VinFast posted a net loss of 35.2 trillion dong (US$1.34 billion or RM5.2 billion) in the fourth quarter, up 15% from a year earlier, as higher costs and impairment charges linked to its planned US plant weighed on its performance.
Adjustments tied to the North Carolina facility alone accounted for US$235.6 million of the loss.
Despite the weaker financial performance, the company is pressing on with international expansion, including revisiting plans to build its US plant, which had been delayed due to uncertain EV demand.
Chairperson Thuy Le said VinFast remains committed to the US market, with a potential soft launch targeted for 2028.
“We are committed to the US market and have been working in the background on that,” she said during an investor briefing.
Back in Southeast Asia, demand in its home market, Vietnam, continues to anchor growth.
Reuters report said the company delivered 86,557 EVs in the fourth quarter, up sharply from both the previous quarter and a year earlier, with nearly 80% of sales coming from Vietnam.
Its two-wheeler segment also saw strong momentum, with deliveries surging more than fourfold year-on-year to nearly 172,000 units, supported by policy measures such as Hanoi’s planned ban on petrol-powered motorbikes in the city centre.
VinFast is also positioning itself for markets with limited charging infrastructure, including Malaysia, by developing range-extended electric vehicles.
These models use small petrol engines to recharge batteries and are seen as a transitional option.
“We view range extender technology as a practical interim step in the shift from internal combustion engines to fully electric vehicles,” senior executive Anne Pham said.
Still, profitability remains a concern. A free-charging programme introduced in late 2024 has helped boost sales but added to cost pressures.
The company said the initiative was well received by customers and dealers, despite being expensive.
Full-year revenue more than doubled to US$3.6 billion, and VinFast is targeting to break even by the end of this year.
However, analysts caution that its high cash burn could pose challenges.
“Despite backing from Vingroup, VinFast’s high cash burn rate raises questions about its ability to fund the required capital expenditure,” said Third Bridge analyst Ollie Coughlin.
For Malaysia, VinFast’s entry signals growing competition in the EV space, as regional players accelerate expansion plans despite a more challenging global market backdrop.
The Sun Malaysia
