Vietnam To Host Chery’s Largest Factory In Southeast Asia

Chery is making a bold move in Vietnam, setting up its largest factory in Southeast Asia with a total investment of up to $800 million, Nikkei Asia has reported. 

Located in Hung Yen province, production will start in mid-2026 with 30,000 to 60,000 cars annually, eventually ramping up to 200,000 vehicles by 2030 depending on demand.

This factory will support Omoda & Jaecoo, Chery’s global-focused brand, which plans to launch 16 models next year, spanning petrol, hybrid, and fully electric vehicles. 

Chery is aiming for at least 10,000 units in early sales, with local production helping to expand its footprint over time. Cars built in Vietnam will be sold domestically and exported to other right-hand-drive markets in Southeast Asia, with potential plans to enter Europe.

"Our Vietnam investment and production capacity are the biggest among ASEAN countries. We are building a completely new factory here," Simon Liu, general director of Chery's operations in Vietnam for the Omoda and Jaecoo models, told Nikkei Asia in an exclusive interview. 

Vietnam’s booming car market, driven by local EV maker VinFast and growing consumer demand, makes it a strategic choice. Chery wants to become the top Chinese car brand in Vietnam next year, and the third overall by 2030. 

For comparison, VinFast sold nearly 150,000 EVs in the first 11 months of 2025, while Toyota moved about 65,000 petrol and hybrid cars in the same period.

Chery is putting strong emphasis on technology and reliability. Building trust is another focus. Executives openly acknowledge that Chinese brands face skepticism in Vietnam, so they are prioritizing local production, quality, and long-term commitments. 

To support EV adoption, Chery is partnering with Geleximco to roll out charging stations nationwide, from banks and office buildings to hotels and golf courses and these chargers will be open to all EV brands.

Finally, Chery is expanding its dealer network from 40 to 75 outlets in 2026, strengthening retail and after-sales support. While competitors like BYD and Geely are in Vietnam, both have paused local factory plans, giving Chery a clear path to grow. 

The company also hopes the factory will help develop local supply chains, reduce costs, and boost cooperation with Vietnamese suppliers.

Source: Nikkei Asia.