VinFast Has Accepted Its Fate, Offers The Cheapest Lease In America

Citigroup Global Markets, Morgan Stanley, Credit Suisse and J.P. VinFast will trade on the Nasdaq under the symbol “VFS” once its offering is completed. The company didn’t say how much money it’s hoping to raise.

At press time, shares were trading at $16 apiece, down 56 percent from Tuesday’s peak. The lease deal is supposedly ending January 31, but if you have the right credit score, you can probably get some leeway through the end of the week. The company has intriguing potential as a young automaker in an evolving EV industry that favors innovation over legacy and manufacturer size — a good thing for VinFast. That said, VinFast will require significant additional capital to support its business growth as it expands into the U.S. and European markets.

Actual MSRP depending on the build, may vary and could affect your monthly lease payment. Cash due at signing includes $249 first month’s payment, $695 acquisition fee, and $0 security deposit. Lessee responsible for insurance during the lease term, excess wear and tear as defined in the lease contract, $0.25/mile over 30,000 miles, plus disposition fee of up to $395 (not to exceed an amount permissible by law) at lease end. Not all customers will qualify for a security deposit waiver.

1. For now, all VinFasts are made at the company’s factory in Haiphong; it hopes to have its U.S. factory, with a capacity of 150,000 vehicles per year, up and running by July 2024.
2. We combine hands-on testing, decades of experience and original photography to craft reports, reviews and guides.
3. VinFast is also taking reservations on the VF9, a flagship, three-row, 7-seater crossover that delivers up to 330 miles of range with a starting price of $83,000.
4. That said, VinFast will require significant additional capital to support its business growth as it expands into the U.S. and European markets.
5. As with the JDIG, these county incentives will only materialize once hiring and investments begin.

VinFast says it has shipped 3,000 vehicles to North America. Initial plans called for Tesla-like direct-to-consumer sales, but VinFast is open to working with dealerships. The Vietnamese EV maker sold a total of 34,855 cars in 2023, according to an emailed statement, short of the 45,000 to 50,000 range the company forecast. The company delivered 13,513 cars in the fourth quarter, up 35% from the previous three months. From a business perspective, throwing $15,000 in rebates at your units to move them off the lot is probably not good for profit, and it sends the message to the consumers that your cars aren’t really “worth” their supposed MSRPs.

VinFast is an incredibly intriguing EV stock.

The carmaker broke ground on its first American factory in North Carolina last month with plans to begin production at the $4 billion facility in 2025—as of June, only 137 electric vehicles by VinFast were registered on U.S. roads. In October, the company reported that it delivered 10,000 electric vehicles in the third quarter, up 5% from the previous quarter. It also said it delivered 28,000 electric scooters in the quarter, a 177% jump from the gann method previous quarter. At the time of that report, the company had 126 showrooms for EVs and 247 showrooms and service workshops for e-scooters. Using the VF8 Plus example at $299 per month, if we rolled in the almost $,1400 in acquisition fees into the payment we are at $339 per month on a car with a retail price of $53,125 this works out to a payment to MSRP ratio of 0.6 percent. Given the context these payments almost seem too good to be true.

It’ll need to tap into additional debt and equity financing, which could come with high interest rates and/or dilution of shareholders. However, VinFast is a part of the larger Vingroup, which had poured $9.3 billion into the company through the third quarter of 2023 and offers financial stability. Like most young EV makers, VinFast is in the early innings of scaling EV technology, and at low production volumes it remains highly unprofitable. In the most recently reported quarter, VinFast notched a net loss of $623 million, a nearly 20% increase from the prior quarter.

VinFast

The purchase option at the lease end, excluding tax, title, and government fees, is $19,352, plus a purchase option fee of $350. This special program may not be combined with other VinFast promotions. Cash due at signing includes a $3,500 capitalized cost reduction, $499 first month’s payment, $695 acquisition fee, and $0 security deposit. Lessee responsible for insurance during the lease term, excess wear and tear as defined in the lease contract, $0.25/mile over 20,000 miles, plus disposition fee of up to $395 (not to exceed an amount permissible by law) at lease end. Through December 31, 2023, lease offer is available on the new 2023 VinFast VF 8 PLUS model leased through VinFast Auto, LLC (offer subject to change based upon availability).

VinFast became Vietnam’s first domestic automaker when it began manufacturing internal combustion vehicles in 2019. It’s now focused entirely on electric vehicles – production of its last internal-combustion model ended in early November. The company is currently taking reservations for two electric SUVs, the midsize VF8 and larger VF9. VinFast has released four EV models and delivered about 19,000 vehicles globally. In July, the company broke ground on a new factory in North Carolina, which is expected to have the capacity to produce 150,000 vehicles a year.

What is VinFast? Here’s Everything You Need to Know

Motortrend called the VF8 “nowhere near ready for public consumption.” Inside EVs described riding in the VF8 as “unbearable.” These are not exactly promising signs. Thanks to a wildly fluctuating stock price, you may have seen the name VinFast in the news lately. In case you wondered just what it is — and whether Dom Toretto is involved — here’s everything you need to know. Fleetingly the world’s third-most valuable automaker, Vietnam’s new EV manufacturer is coming to America.

Chatham County has its own incentives (more on that below), and it is allowing the carmaker to commence its grant any year before 2028. State officials, including the governor, express faith in VinFast. But even if one ignores the startup’s shallow track record, it’s a reality https://traderoom.info/ that most jobs projects backed by North Carolina incentives over the past 20 years didn’t reach their original hiring promises. Announced prices are subject to change and do not include destination charge or any applicable tax, title, registration, and license fees.

VinFast, a small automaker from Vietnam, faces an uphill battle to establish a foothold in the American car market. An unknown name with less-than-stellar product reviews and a reputation for putting critics in jail doesn’t bode well for sales. By offering what is now “the cheapest lease on the market” Vinfast seems to finally understand their only real chance to compete against more recognizable brands. VinFast on Tuesday said it has filed a registration statement with the U.S. Securities and Exchange Commission, the first formal step toward a public offering next year. The company in March announced plans for a $2 billion factory in North Carolina and hopes to deliver its first vehicles to American customers by year-end.

For now, all VinFasts are made at the company’s factory in Haiphong; it hopes to have its U.S. factory, with a capacity of 150,000 vehicles per year, up and running by July 2024. The VF8 and VF9 start at $57,000 and $76,000, respectively – but both can be ordered without batteries, lowering the up-front cost significantly, if the buyer opts for a monthly battery subscription. Without batteries, the VF8 and VF9 start at just over $42,000 and $57,500; the battery subscriptions are priced at $169 per month for the VF8 and $219 per month for the larger VF9. If the automaker hires fewer workers than the figures above, its BIG payments will be prorated according to the number of positions it created.

Automobiles

He is the chair of Vingroup, the largest conglomerate in Vietnam, with units in the real estate development, EV, technology and retail sectors. Images and videos shown contain pre-production level vehicles. According to an SEC filing, his Vingroup controls 1.2 billion shares in VinFast, more than 50 percent of outstanding shares.

After I was put on hold for about 20 minutes I reached out to the dealership via their online lead system, as there was an option to send a text directly to a manager. Immediately, I got a call back from a sales manager who told me that a salesperson would be reaching out to provide pricing. Despite an additional follow-up, I never got that official quote. For decades, North Carolina has wanted a major car manufacturer, only to watch candidates pick southern alternatives.