Škoda Auto and Thanh Cong Group open plant in Vietnam

The production programme will expand in the summer to include the Slavia sedan, which will also be assembled from CKD kits sourced from India. Located in Quang Ninh province, the facility is equipped with state-of-the-art technology, including a welding shop, a paint shop, and a final assembly line. Škoda Auto launched operations in Vietnam in September 2023 and oversees the Volkswagen Group’s activities in the Association of Southeast Asian Nations (ASEAN), a region with strong growth potential. Vietnam, one of the fastest-developing markets in ASEAN, serves as a strategic gateway to the wider Indo-Pacific region. Since entering the Vietnamese market, 15 Škoda sales outlets have been opened and the network is planned to expand to 32 dealerships in 2025.

Series production of the Kushaq SUV officially began yesterday, with the Slavia sedan set to follow this summer. Both models are assembled from CKD kits prepared at Škoda Auto’s logistics centre in Pune, India, capitalising on geographical synergies. The plant’s location near one of Vietnam’s largest and most modern ports ensures an efficient supply chain.

Series production of the Kushaq SUV officially began yesterday, with the Slavia sedan set to follow this summer. Both models are assembled from CKD kits prepared at Škoda Auto’s logistics centre in Pune, India, capitalising on geographical synergies. The plant’s location near one of Vietnam’s largest and most modern ports ensures an efficient supply chain.

To guarantee high product quality, Škoda rigorously tests all locally assembled models under real-world conditions ahead of series production. The Kushaq, for example, has covered more than 330,000 kilometres on diverse Vietnamese roads and undergone extensive climate testing, including trials in temperatures ranging from -10 °C to +42 °C with high humidity.

The Kushaq SUV and Slavia sedan feature left-hand drive and come equipped with advanced safety and comfort features, including adaptive cruise control, blind spot monitoring, and synthetic leather upholstery. Both models are tailored to meet the specific needs and expectations of local customers.

The locally assembled models are a cornerstone of Škoda’s portfolio in Vietnam, complementing the Karoq and Kodiaq SUVs imported from Europe. Since Škoda’s entry into the Vietnamese market in September 2023, more than 15 sales outlets have been opened, including a new showroom concept, the Experience Centre in Hanoi. The network is planned to expand to 32 dealerships by the end of this year.

Škoda Auto is leading the Brand Group Core in its expansion across the ASEAN region, maximising growth potential for the Volkswagen Group. The company draws on its expertise in price-sensitive entry-level segments and effectively leverages existing opportunities. Vietnam is currently the fourth-largest automotive market in Southeast Asia. With just 34 passenger vehicles per 1,000 inhabitants in a country of approximately 100 million people – and with continued national economic growth – Vietnam has the highest projected growth potential in the region.

Beyond ASEAN, Škoda Auto is also expanding its business activities in the Middle East, capitalising on synergies with its production facilities in India.