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THE STRATEGIC PARTNERSHIP BETWEEN KIM LONG MOTOR AND CHANGAN AUTOMOBILE IN VIETNAM
KIM LONG MOTOR and CHANGAN Automobile - China’s Largest State-Owned Automotive Group - Officially Announce Plans to Build the KIM LONG TRUONG AN VIETNAM Passenger Car Manufacturing Plant. Additionally, both parties successfully signed a production cooperation agreement between CHANGAN Automobile Co., Ltd. and KIM LONG MOTOR Joint Stock Company. These initial steps mark the beginning of a collaborative development strategy in the Vietnamese market for both enterprises.
KIM LONG MOTOR and CHANGAN Automobile sign cooperation agreement in Vietnam
Vietnam – A promising automotive market
Vietnam is considered one of the most promising automotive markets in the region. In 2023, the average car ownership rate was 63 vehicles per 1,000 people. For passenger cars under nine seats (3.05 million vehicles), the ownership rate was 30 vehicles per 1,000 people. By 2025, the Ministry of Industry and Trade forecasts this number will increase by approximately 9%, and by 2030, the rate could reach 30%. This indicates that Vietnam is poised to become one of the fastest-growing automobile markets in Asia. With a young population and a dynamic economy, Vietnam has been and will continue to be a destination for many major global automotive brands.
In line with this trend, CHANGAN Automobile, established in 1862 and headquartered in Jiangbei, Chongqing, China, is the latest brand to enter this highly potential market. With an impressive sales volume of over 2.68 million vehicles in 2024, CHANGAN not only leads in sales within China but is also the largest and oldest state-owned automotive group in the country. Its diverse product range, spanning passenger and commercial vehicles, includes prestigious brands such as CHANGAN, DEEPAL, and AVATR. These vehicles not only ensure exceptional quality but also lead innovation trends in the automotive industry.
The recent event marks a significant milestone in establishing a sustainable partnership between the two automotive giants. It represents a solid step in CHANGAN Automobile’s global “Vast Ocean” strategy and contributes to realizing KIM LONG MOTOR's vision of becoming a leading domestic manufacturer of automobiles and automotive components.
A comprehensive development atrategy with 3 core pillars
The year 2024 has also witnessed a strong rise in new energy passenger vehicles that are environmentally friendly. This presents an opportunity for KIM LONG MOTOR and CHANGAN Automobile to accelerate their joint development strategy in Vietnam, focusing on three main pillars: selecting a unique product lineup, developing a brand-standardized distribution system, and investing systematically in the KIM LONG TRUONG AN VIETNAM passenger car manufacturing plant for 5- to 7-seater vehicles.
For the product strategy, the brands aim to align with global strategies while catering to the specific needs of Vietnamese customers. Currently, KIM LONG MOTOR and CHANGAN Automobile have selected successful international models that align with Vietnam’s market characteristics. The first products will include DEEPAL-branded models, especially new energy vehicles with cutting-edge technology aimed at green transportation and environmental protection.
In distribution system development, KIM LONG MOTOR leverages all available resources and CHANGAN Automobile’s global expertise to build a nationwide sales and service network. Within three years, the goal is to operate 80 showrooms, creating an interconnected system to provide customers with consistent experiences akin to CHANGAN’s global distribution network.
Diversifying CHANGAN Automobile’s product lineup in Vietnam and pursuing local assembly and manufacturing—specifically at the KIM LONG TRUONG AN VIETNAM passenger car manufacturing plant in KIM LONG MOTOR’s automotive industrial complex in Hue—is a strategic move toward sustainable development. Spanning a 30-hectare area with a designed capacity of 50,000 vehicles per year, the plant’s production lines will adopt CHANGAN’s cutting-edge, advanced technology. Construction will begin in 2025, with an initial localization rate of 40% and a target of over 80% by Q2 2026.
Leading together to serve
With a long-term vision and a well-structured development strategy, the collaboration between KIM LONG MOTOR and CHANGAN Automobile will not only deliver high-quality products that meet modern mobility trends but also mark a significant milestone in the evolution of Vietnam’s automotive industry. These efforts demonstrate both companies’ strong commitment to delivering sustainable value to customers, partners, and the community.
Both enterprises will collaborate to introduce more high-quality passenger vehicles to the market, meeting diverse customer demands. Once operational, the KIM LONG TRUONG AN VIETNAM passenger car manufacturing plant will create thousands of jobs and contribute significantly to the state budget and the socio-economic development of Hue city.
This new journey has begun, promising a bright future for both brands and contributing to elevating Vietnam’s automotive industry on the regional and global map.
KIM LONG MOTOR CHANGAN AUTOMOBILE
NEWS - EVENTS

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