The company plans to develop new EV two-wheeler projects and supporting services in Vietnam, Wang Jiazhong, senior vice president at Yadea Group, said during a meeting with Prime Minister Pham Minh Chinh on the sidelines of the Shanghai Cooperation Organization (SCO) summit in China on Sunday.

In response, PM Chinh said he welcomed the proposals, noting that Vietnam’s growth strategy is designed to align with sustainability and the transition to a digital, green, and circular economy.

He urged Yadea to transfer technology, boost localization, hire more Vietnamese workers, and cooperate with state-owned giants such as state utility EVN, PetroVietnam, and Viettel on workforce training and clean-transport initiatives.

Yadea entered Vietnam in 2019 with a plant in Bac Ninh’s Quang Chau Industrial Park, expanding it in 2023 to 230,000 square meters with an annual capacity of two million units. The first phase of the $100 million project was followed by the launch of a Southeast Asia green energy R&D center in Vietnam.

In July, Hanoi was requested to ban gas-powered motorbikes from its downtown core starting July 2026, part of a sweeping plan to cut emissions and improve air quality.

The ban, ordered by Prime Minister Pham Minh Chinh under a directive issued on July 12, will apply to all fossil fuel–powered motorbikes and scooters operating within Ring Road 1, which passes through the downtown area and includes the Old Quarter.

By 2028, the restrictions will expand to include gas-powered private cars within Ring Roads 1 and 2. By 2030, Hanoi aims to restrict all personal fossil fuel vehicles within Ring Road 3, which encircles Hanoi's outer layer and connects to highways and expressways that link to neighboring provinces.

The Seoul-based LG Energy Solution (LGES) plans to invest in an electric motorbike manufacturing plant and charging stations in the northern province of Phu Tho with official development assistance (ODA) funding, said its senior manager Lee Jin Woo.

At a working session with local authorities led by Chairman of the provincial People’s Committee Tran Duy Dong on August 1, Lee said his firm wants to partner with businesses involved in electric motorbikes and battery technology in Phu Tho province to develop a local electric two-wheeler (E2W) ecosystem and support efforts to reduce greenhouse gas emissions.

LGES is also focusing on developing partnerships in the field of artificial intelligence (AI), he added.

Vinh Phuc (home to Toyota and Honda plants and some of their suppliers), Hoa Binh, and Phu Tho were recently merged to form the new Phu Tho province, which borders Lao Cai, Ninh Binh, Son La, Thai Nguyen, Thanh Hoa, Tuyen Quang, and Hanoi.