VinFast car prices fail to convince Vietnamese consumers

VinFast presented three models and their prices at its maiden show in Hanoi Tuesday afternoon. Its five-seat sedan Lux A2.0 and seven-seat SUV Lux SA 2.0, which had already been revealed to the public for the first time at the Paris Motor Show last month, cost VND800 million ($34,305) and VND1.136 billion ($48,709) respectively. The smaller hatchback Fadil, presented for the very first time, costs VND336 million ($14,410). These prices are exclusive of a 10 percent value added tax. The company said it was announcing favorable prices for the “initial phase.” The original prices of the hatchback, the sedan and the SUV are VND423 million ($18,140), VND1.336 billion ($57,300) and VND1.818 billion ($78,000) respectively, it said. VinFast’s SUV Lux SA2.0 But VinFast did not say for how long the promotional prices will last or how many cars will be produced in the initial phase. VinFast, a unit of Vietnam’s largest private conglomerate Vingroup JSC, surprised industry insiders by completing its first two units, the SUV and the Sedan, within one year. Its first two models are built on frames from BMW. Their components have been engineered by Canadian firm Magna International’s Magna Steyr, while design work was done by Italian design house Pininfarina. The small hatchback, Fadil, meanwhile, was developed from the background of the Opel Karl Rocks model in the European market. Its structure is almost equivalent to the latest Chevrolet Spark generation. VinFast’s Lux A.20. Public unimpressed The general public and prospective car buyers do not appear to… [Read full story]