Vietnam's EV brand, VinFast ($VinFast Auto Ltd. Ordinary Shares VFS$), reported on Wednesday its latest Southeast Asian expansion efforts by securing partnership agreements with 15 Thai dealerships. These agreements struck during this week's Bangkok International Motor Show, support the company’s drive to capitalize on the region's growing electric vehicle demand.

With Thailand aiming to convert around 30% of its annual vehicle production to electric by 2030, competition among EV manufacturers is intensifying, with some looking to establish the region as their manufacturing hub. As VinFast enters the market, it faces strong sales from Chinese brands like BYD ($BYD COMPANY 01211.HK$) and Great Wall Motors ($GWMOTOR 02333.HK$) in Thailand, while market leader Tesla ($Tesla Motors, Inc. TSLA$) is in talks with Thai authorities to negotiate to build production facilities.

VinFast plans to proactively collaborate with dealers to open 22 showrooms along main roads in the Greater Bangkok area, a focal point for VinFast's expansion strategy into Thailand. According to the Federation of Thai Industries, Thais purchased 73,500 electric vehicles in 2023, which is about 9% of total car sales, with expectations that this figure will double by the end of 2024.