VinFast Indonesia to Commence Local Assembly of VF3 in January 2026

Strategic Shift to Local Production

VinFast Indonesia has announced that it will start supplying its VF3 model, assembled locally through completely knocked down (CKD) production, to consumers in January 2026. This move represents a significant milestone in the company's transition from importing completely built-up (CBU) units to local assembly. The decision follows the commencement of operations at VinFast's manufacturing facility in Subang, West Java.

Gradual Localization Strategy

CEO Kariyanto Hardjosoemarto confirmed during the factory inauguration press conference that the VF3 will be the first model to be locally assembled. The company plans to implement this localization strategy in phases, with the VF3 being the initial model to benefit from the local production setup. This approach is expected to enhance the company's market competitiveness while complying with local regulations and reducing import dependencies.

Market Implications

The shift to local assembly is anticipated to have positive implications for VinFast's presence in the Indonesian market. By starting local production, the company can potentially benefit from reduced import costs, improved supply chain efficiency, and enhanced compliance with local content requirements. This strategic move aligns with the Indonesian government's efforts to promote local automotive manufacturing and economic growth.