Billionaire Pham Nhat Vuong "plays big"

According to information from VinFast, to show gratitude to customers, this electric car company decided to give all customers who have owned and will own VinFast cars before December 31, 2024 a Tet gift set personally selected and signed by Vingroup Chairman Pham Nhat Vuong.

The gift set includes a New Year lucky money envelope, with a collection of Vietnamese cash in various denominations from VND1,000 to VND500,000, totaling VND888,000; a bottle of high-class French wine and a New Year greeting card from Vingroup Chairman and VinFast Global CEO Pham Nhat Vuong.

It is expected that VinFast will send a special gift set to its car owners in January 2025, right before the Lunar New Year.

The decision to give gifts to customers was implemented right after VinFast became the number 1 best-selling car company in Vietnam, with the delivery of more than 11,000 electric cars of all kinds to customers in October 2024, bringing the cumulative total to more than 51,000 units.

With the above number, VinFast officially became the number 1 best-selling car brand in the Vietnamese market in the first 10 months of this year.

Also right after this milestone, Vingroup Corporation and Mr. Pham Nhat Vuong announced their commitment to provide financial support to VinFast Company. Accordingly, from now until the end of 2026, Vingroup plans to lend VinFast a maximum of VND 35,000 billion; Chairman Pham Nhat Vuong also committed to sponsor VinFast with VND 50,000 billion.

At the same time, Vingroup will invest more in VinFast Vietnam by converting all existing loans of about VND80,000 billion into dividend-entitled preferred shares.

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Chairman Pham Nhat Vuong will give away huge Tet gifts, lucky money and wine worth quite a lot to all customers who have and will own VinFast cars. Photo: DK

What signal from VinFast boss?

The decision to give Tet gifts to all VinFast car owners is seen as a marketing plan during the peak sales period before Tet At Ty, but it also shows many new signals from the Vietnamese electric car company.

With the number of cars delivered about 51,000 since the beginning of the year and the current sales rate of about 10,000 cars/month, in 2024 VinFast will likely deliver about 70,000-80,000 cars.

In 2023, VinFast delivered 34,855 vehicles globally. In 2022, it delivered 7,400 vehicles, all in Vietnam. Before that, by the end of 2021, VinFast had delivered nearly 10,000 VFe 34 and VF8 electric vehicles.

Thus, by the end of 2024, VinFast will deliver a total of about 120,000-130,000 electric cars.

With gasoline cars, VinFast has delivered about 65,000 units to customers (in 2020 and 2021).

Assuming the value of each gift is around 1 million VND, VinFast will have to spend 180-190 billion VND.

However, a number of cars were sold to Green and Smart Mobility JSC (GSM) - a green vehicle rental and multi-platform electric car booking unit - under Vingroup. Therefore, if we ignore the gifts with these cars, the amount of money spent on this "big play" by billionaire Vuong is tens of billions of dong.

The decision to give Tet gifts to gasoline car owners also shows Mr. Vuong's gratitude and commitment to VinFast product users.

But perhaps the most significant milestone is the fact that VinFast has been marking the number 1 position in the market after 5 years of entering the market, surpassing foreign car manufacturers. This is also the first time an electric car manufacturer has surpassed rival gasoline car manufacturers who have been dominating the market, after only 2 years of switching to pure electric.

Through this, Mr. Vuong wants to affirm that the young car company VinFast has overcome difficulties and made remarkable progress. The influence of these unique Tet gifts can be huge, motivating many people who are renting or driving to buy VinFast cars.

In the announcement issued when VinFast took the number 1 market share in Vietnam, this USD billionaire shared that VinFast had "overcome many difficulties, many doubts, even slander and sabotage from ill-intentioned people"...

That is for customers and potential consumers, and for partners, Chairman Pham Nhat Vuong's big spending on Tet gifts is also a signal that the financial situation of the Vingroup ecosystem, including VinFast, has become more positive. Cash flow, financial health and prospects are better. Vingroup's businesses have recently implemented many large-scale real estate projects in Hai Phong, Hanoi and Ho Chi Minh City, or sold part of VRE...

Perhaps more noteworthy is that billionaire Vuong's VinFast is focusing on key markets, notably the domestic market, followed by Southeast Asia.

Ms. Le Thi Thu Thuy, Chairwoman of VinFast Board of Directors, in a recent share said that the domestic market continues to contribute the majority to sales.

In addition, VinFast is also promoting sales in the US, launching the brand in Indonesia and Thailand, establishing a presence in the Middle East, starting construction of a factory in India and expanding its global sales network.

After the historic deal, billionaire Pham Nhat Vuong's Vinhomes has made a big move . Billionaire Pham Nhat Vuong's Vinhomes has just decided to reorganize its subsidiaries, signaling a move in a new strategic field, after having just made a historic deal, buying back 370 million VHM shares.