Czech's Škoda Auto plans to establish a factory in Quang Ninh

On February 16, MPI Deputy Minister Nguyen Thi Bich Ngoc met with Czech's Ambassador to Vietnam Vítezslav Grepl and the leaders of Škoda Auto. Chairman of Quang Ninh People's Committee Nguyen Tuong Van, as well as the provincial head of the Economic Zones Management Authority Hoang Trung Kien and leaders of relevant agencies, also attended the meeting.

Ambassador Grepl explained that Škoda is looking to establish modern manufacturing lines within its factory in Quang Ninh.

Ondrej Cerny, director of Russia and new markets of Škoda, said the company plans to put the factory into operation in 2024 and begin exporting cars from Vietnam in a few years later, adding that he hoped the government, ministries, and agencies will offer support for Škoda in achieving these targets.

Deputy Minister Ngoc presented that as of date, there are 44 Czech projects investing in Vietnam with the total investment capital of $91 million, ranking 48^th among 141 countries and territories investing in Vietnam.

"There is much room for cooperation and investment between the two countries. Vietnam's government welcomes Czech investors to set foot in the country. We also appreciate Ambassador Grepl's support in being a connection between the two sides," said Ngoc.

The deputy minister further emphasised that Vietnam welcomes the projects of Škoda. Vietnam has been entering a new stage of attracting foreign investment after 35 years of open-door policies. "Thereby, we encourage projects with high technologies and added values. We encourage foreign investors to connect, cooperate, and use products and services of Vietnamese enterprises to receive benefits on both sides," said Ngoc.

Ngoc asked Škoda Auto to share experiences, transfer technologies, and strengthen links with local enterprises during the deployment of the project. The carmaker should also consider establishing a research centre in Vietnam, especially focusing on new electrical car models to contribute to the reduction of carbon emissions and environmental protection.

Martin Jahn, member of the Board of Directors at Škoda Auto, said that the Vietnamese car market is a relatively small, but very promising market for Škoda. "The political and trade ties between the two countries represent extensive opportunities for cooperation," said Jahn.

Last year, Škoda Auto delivered over a million cars worldwide. Skoda Auto was established in 1925 in the Czech Republic and is part of Volkswagen Group.