VinFast is among Vietnamese companies being considered to invest in Philippine economic zones following a diplomatic upgrade between the two countries.
The Philippines’ PEZA (Philippine Economic Zone Authority) said Vietnamese President Tô Lâm’s recent visit, which elevated bilateral ties to a comprehensive strategic partnership, is expected to open new avenues for trade, investment and industrial collaboration.
The groundwork for this development was laid in April, when PEZA held talks with Vietnamese Ambassador to the Philippines Dr. Lai Thai Binh and embassy officials on expanding investment and trade activity within Philippine ecozones.
Those discussions included plans to organize an incoming business delegation from Vietnam, with VinFast Auto among the potential participants.
VinFast, a subsidiary of Vietnamese conglomerate Vingroup, is Vietnam’s first automobile brand to enter global markets and makes electric cars and scooters.
PEZA said a possible investment by the company would reinforce its drive to attract electric vehicle manufacturing, battery assembly, automotive electronics and charging infrastructure projects to its areas.
PEZA Director-General Tereso O Panga said Vietnam’s emergence as a manufacturing hub creates room for collaboration between the two ASEAN economies, noting that the Philippines’ domestic consumer base, workforce and access to the export market could attract Vietnamese companies seeking a regional foothold.
This comes after the entry of two Indonesian-linked automotive companies into Philippine ecozones.
They are Diametral Involute Philippines, which focuses on machining, forging and precision components, and Astra Visteon, a joint venture between PT Astra Otoparts and Visteon Corporation that manufactures vehicle electronics such as speedometers and infotainment systems.
Panga added: “Following the recent entry of two major Indonesian automotive companies into the ecozones, we hope that more Vietnamese manufacturing companies will consider locating in the Philippine ecozones to take advantage of our growing domestic market, strategic location, skilled workforce and preferential access to key destinations such as the United States and the European Union.”
The agency added that closer cooperation among ASEAN member states could help bolster regional supply chains and boost intra-ASEAN trade as the bloc faces headwinds, including US tariffs, geoeconomic fragmentation and supply chain disruptions.
“Vietnam-Philippines Partnership Places VinFast Under Philippine Ecozone” was originally created and published by Just Auto, a brand owned by GlobalData.