‘We will never let VinFast go’: Vingroup billionaire chairman Pham Nhat Vuong

"We will never let VinFast go," he told Vingroup shareholders at the company’s annual general meeting Thursday, adding that he and the company are focusing all resources on the EV maker.

Vietnam’s richest man said he would give at least US$1 billion from his personal wealth to VinFast.

He has transferred a 99.8% stake in VinES, a battery producer with a charter capital of VND6.5 trillion ($256 million), to VinFast.

Vingroup has promised to loan the automaker $1 billion for five years and give $500 million to it.

Vuong said: "We are encouraging everyone to help build VinFast. Vingroup subsidiaries will also make contributions."

He was responding to a shareholder’s question about whether Vingroup would be financially capable of funding VinFast’s operations.

While the price of VinFast’s shares have been plummeting on the U.S. stock market, Vingroup has been selling stakes in other subsidiaries to keep the automaker afloat.

Vingroup’s financial report shows that its manufacturing business, consisting mostly of VinFast, achieved revenues of VND28 trillion last year, double that of 2022. But it lost VND33 trillion.

Vuong assured shareholders however that Vingroup is financially healthy enough to keep investing in VinFast. "We have never been late in paying loan interests, not to mention principal. All financial plans are fulfilled."

The conglomerate has overcome its most challenging period, Vuong said. In the first quarter VinFast led in auto sales in Vietnam while property unit Vinhomes had record sales.

VinFast is a challenging endeavor as it helps take a national brand to the world, he said.

VinFast would proceed with its plans to build a factory each in the U.S., India and Indonesia, he said.

"We spent $2 billion building a factory in the U.S. and in return received $2 billion in incentives, including tax waivers."

These incentives would help the company enter the U.S. market more easily as it competes with other automakers, he added.

Vingroup targets record revenues of VND200 trillion this year, up 24% from last year and post-tax profits of VND4.5 trillion, double that of last year.