The conglomerate Vingroup, through VinES Energy Solutions JSC, announced cooperating with Gotion Inc. to develop its second lithium battery factory with the total investment capital of VND6.3 trillion ($273.9 million) in the central province of Ha Tinh.
Vung Ang Economic Zone Management Authority sent documents to departments and relevant authorities to collect opinions about appraising the project. VinES and Gotion Inc. will contribute $50.86 million (49 per cent) and $53.47 million (51 per cent), respectively, to establish the joint venture.
According to the investor’s proposal, the joint venture will arrange another $171.3 million from credit funds and other organisations.
The factory will produce lithium iron phosphate (LFP) batteries, which are currently the most used batteries in the global new energy vehicle market.
According to the plan, the construction is expected to start in the fourth quarter and be completed in the fourth quarter of 2023. The factory is expected to start operation in the first quarter of 2024.