Skoda Auto together with its regional partner Thanh Cong Group celebrated the official launch of their new production plant based in Quang Ninh province Vietnam to advance its international growth plan. Shkoda will begin its production of the Kushaq SUV at this plant and then proceed to assemble the Slavia sedan during the summer months.
Skoda increases its position in the rapidly developing ASEAN market through this expansion. The Pune logistics centre in India provides Škoda with convenient Completely Knocked Down (CKD) kit imports to assemble customised vehicles for the Vietnamese market.
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The facility utilizes the latest manufacturing equipment which contains welding facilities and four-stage paint stations in addition to complete assembly areas. The facility includes a testing environment with quality control systems together with precision measurement equipment and a road simulation area which mirrors Vietnamese driving conditions.
The automobile manufacturer Škoda Auto operates its Vietnamese business from September 2023 while overseeing all Volkswagen Group operations throughout the ASEAN region. Vietnam, one of the fastest-growing automotive markets in Southeast Asia, serves as a strategic gateway to the broader Indo-Pacific region.
Production facilities in Vietnam construct the Kushaq and Slavia vehicles for left-hand drive operations with blind spot monitoring and adaptive cruise control as standard equipment. The models were specifically designed to fulfill the marketplace requirements of Vietnamese customers.
The Škoda automobile company has been expanding its Vietnamese sales operations through 15 current outlets while operating the Experience Centre in Hanoi. The company intends to establish an additional 23 dealership facilities across the country before 2025.
Škoda demonstrates its strategic aim to venture outside European borders with the assembly plant establishment in the ASEAN growth area. Vietnam, with its rapidly growing economy and automotive market, is a key component of Škoda’s strategic expansion. The company is also expanding its presence in the Middle East, leveraging synergies with its Indian production facilities.