Skoda Opens New Vietnam Plant to Assemble Kushaq & Slavia

Skoda Opens New Vietnam Plant to Assemble Kushaq & Slavia

Skoda Auto is set to expand its production in Vietnam by adding the Slavia sedan to its assembly line this summer.

Suvasit ShrivastavaUpdated: Friday, March 28, 2025, 01:55 PM IST
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Skoda Auto, in partnership with the Thanh Cong Group, has inaugurated a new production facility in Vietnam, marking a major step in its global expansion. The plant, which began operations on March 26, will assemble the Skoda Slavia and Kushaq models. This initiative strengthens Skoda’s foothold outside Europe and enhances its presence in Southeast Asia.

The company is leveraging India’s manufacturing capabilities by importing completely knocked down (CKD) kits of the Kushaq SUV for local assembly, ensuring a cost-effective and strategic approach to growth in the region.

Skoda Auto is set to expand its production in Vietnam by adding the Slavia sedan to its assembly line this summer. The facility, located in Quang Ninh province, features advanced manufacturing technology, including welding, painting, and final assembly operations.

Skoda entered the Vietnamese market in September 2023 and plays a key role in managing Volkswagen Group’s presence in the ASEAN region, which holds strong growth potential. With Vietnam emerging as a crucial hub for the Indo-Pacific market, Skoda has rapidly expanded its reach, establishing 15 sales outlets, with plans to increase the network to 32 dealerships by 2025.

Klaus Zellmer, CEO of Skoda Auto, said, “Opening this new assembly line marks a milestone in our expansion into the rapidly growing Vietnamese market and strengthens our position in the ASEAN region. By leveraging synergies with our key Indian market, we are setting the stage for success not only for Skoda but also for our local partner, Thanh Cong Group. I look forward to putting the first Skoda vehicles from the Vietnamese plant in front of customers very soon.”

Fluger René

Nguyen Anh Tuan, Chairman of the Board of Thanh Cong Group, said, “The first Skoda Auto plant in Vietnam is the core project within the Thanh Cong Viet Hung Automotive and Auxiliary Complex, which has been carefully planned and invested in by Thanh Cong Group. It aims to foster European automotive collaboration, enhance production and technology, and manufacture a diverse range of products, including new energy vehicles, electric vehicles, and specialized custom-designed vehicles in the future.”

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