Geely Auto Group has partnered with Vietnam’s Tasco in a joint venture aimed at launching vehicle production in the country by 2026. The collaboration, announced on September 23, marks a strategic move for Geely to strengthen its presence in Southeast Asia.
The project, which will involve the assembly of vehicles under the Lynk & Co and Geely Auto brands, will be based on a CKD (Completely Knocked Down) production model. Using imported parts, the vehicles will be assembled at a plant in Thai Binh Province with an initial annual capacity of 75,000 units. The venture, valued at $168 million, will see Tasco holding a 64% stake, while Geely Auto takes 36%.
Construction of the facility is slated to begin in early 2025, with the first vehicles expected to be delivered by 2026. The vehicles will not only cater to the domestic market but also be exported to countries where Vietnam has free trade agreements.
Ngô Đông Hải, Secretary of the Vietnamese Communist Party’s Thai Binh Province, commented on the venture, stating, “The strategic cooperation between Tasco and Geely in Thái Bình comes at a very opportune time. The Vietnamese automobile market is full of potential, with a car ownership rate of about 63 vehicles per 1,000 people compared to over 300 vehicles in Thailand.”
In addition to vehicle assembly, Tasco and Geely Auto plan to collaborate on enhancing the local automotive parts supply chain and establishing a research and development center in Southeast Asia.
