The world’s biggest electric vehicle maker, China’s BYD, will set up shop in Hanoi in May.
It would sell its first cars in the sedan and SUV segments, sources familiar with the matter said.
Its SUV BYD Atto 3 is among the most sought-after cars globally. It has large demand in Sweden and is the best-selling EV in Thailand.
It has a 60.48-kilowatt-hour battery that allows travel of up to 480 kilometers.
Its prices start from US$30,750 in Thailand.
In Vietnam, BYD cars will be imported as complete units from China.
The company is building a $504-million plant in Thailand, its biggest market outside China, and expects to start production there this year.
In future BYD cars can be imported to Vietnam from Thailand to enjoy the zero import tax applicable to Southeast Asian countries.
BYD, established in 2003, sold 1.62 million electric cars last year, second globally behind Tesla with 1.8 million units, though in the last quarter it outpaced past the U.S. company 526,000 to 484,000.
Ninety percent of its sales were in China.