Hope Skoda actively cooperates and transfers automobile manufacturing technology to Vietnam

Skoda Auto is the largest car manufacturer in the Czech Republic, in 1991 it was privatized and became part of the Volkswagen Group (Germany).

Skoda is currently present in more than 100 countries and sells over 1 million vehicles per year. The company plays an important role in the Volkswagen Group's electric and digitalization strategy and plays a key role in the European and Indian car markets.

In Vietnam, in 2022, Skoda and Thanh Cong Group (TC Group) signed a cooperation agreement to produce and distribute Skoda-branded vehicles, with the goal of localization, applying modern technology and clean energy.

In September 2023, fully imported Skoda models were officially launched in the Vietnamese market. The Thanh Cong Viet Hung Automobile Factory Construction Project in Quang Ninh Province is the central project at the Viet Hung Industrial Park Automobile and Auxiliary Complex, invested by TC Group.

The factory started construction in early 2023; officially inaugurated on March 26, 2025 and put into operation to produce and assemble cars, with equipment lines invested to produce and assemble Skoda cars.

Prime Minister Pham Minh Chinh and Chairman of Skoda Auto Group Klaus Zellmer. (Photo: TRAN HAI)

Thanh Cong Viet Hung Automobile Manufacturing Factory belongs to Thanh Cong Viet Hung Automobile and Supporting Industry Complex in Viet Hung Industrial Park, Ha Long City, Quang Ninh Province (301ha).

This is the fourth automobile manufacturing plant of TC Group. Thanh Cong Viet Hung Automobile Manufacturing Plant, with a capacity of 120,000 vehicles/year, has greatly enhanced TC Group's production capacity of high-quality vehicles. The first vehicle to be produced at the plant, assembled in the form of 100% imported components (CKD), is the Skoda Kushaq.

Prime Minister Pham Minh Chinh receives Chairman of Skoda Auto Group Klaus Zellmer. (Photo: TRAN HAI)

At the reception, Prime Minister Pham Minh Chinh congratulated Skoda Auto Group and Thanh Cong Group for jointly inaugurating the factory in Quang Ninh, which is an event marking a step forward after Vietnam and the Czech Republic upgraded diplomatic relations, contributing to promoting the traditionally good economic, investment and trade relations; stating that the automobile market in Vietnam is facing fierce competition, so it must be digitalized and greened to suit the situation; hoping that after the inauguration of the factory, under the cooperation of both sides, Thanh Cong will have greater success.

The Prime Minister hopes that Skoda will actively cooperate and build an ecosystem to develop the Vietnamese automobile industry; improve designs and restructure products to suit the culture, psychology and traditions of Vietnamese people; and actively transfer technology and design to Vietnamese partners. The Vietnamese Government is ready to create favorable conditions for Skoda and create an ecosystem for the automobile manufacturing industry and other industries.

The Prime Minister also expressed his hope that, with its experience, Skoda would continue to cooperate in production in Vietnam and expand its market to ASEAN countries. The Prime Minister pointed out that Quang Ninh, which borders the large Chinese market, has a great advantage in consuming the company's products; more broadly, Vietnam is currently the center of growth in the region and Asia.

Leaders of Thanh Cong Group and Skoda Auto attended the reception. (Photo: TRAN HAI)

Chairman of Skoda Auto Group Klaus Zellmer thanked Prime Minister Pham Minh Chinh for taking the time to meet him; stated that the inauguration of the factory is the first step to complete the picture in the overall strategy; proposed a number of points, accordingly, to operate Thanh Cong's new automobile factory, it is necessary to have a team of skilled human resources: Quang Ninh has potential in terms of labor force, this is a model that can be replicated for automobile manufacturing factories.

Skoda has a car manufacturing system across Europe; he believes that the future will be electric cars, so we must prepare well from now, especially perfecting policies, protecting investors, and ensuring the country's sustainable development.

When it comes to electric cars, the first thing to mention is batteries, an area that Skoda is very interested in. Therefore, both sides have the opportunity to expand and invest in battery factories. Vietnam has a good seaport system, potential for logistics development, and an abundant and skilled workforce.

Skoda has a diverse, complete, and efficient supply ecosystem and an input supply network. The two sides need to discuss to complete the overall picture of the automobile manufacturing industry on the basis of Skoda's 75 years of involvement in the Vietnamese market.

Prime Minister Pham Minh Chinh highly appreciated Skoda's enthusiasm and goodwill; stating that, from his experience, he hoped the Group would actively transfer technology so that Vietnam could produce automobile engines, increase the localization rate, and enhance product competitiveness.

Emphasizing the need to look far and wide, think deeply and do big, the Prime Minister suggested that Skoda could research and produce train cars to serve Vietnam's upcoming railway projects; research and produce cars to serve industrial production, small and medium enterprises, and cooperatives (for example, pickup trucks).

On the basis of the traditional good friendship between the two countries, the Prime Minister hopes that Skoda will be successful in Vietnam; and to do that, it is necessary to diversify products, affirm the brand and value for sustainable and long-term development; think not only about the Vietnamese market but also the neighboring market; pay attention to product segments depending on each market.

The Prime Minister also said that Vietnam is making efforts to develop electric car battery factories and charging stations; stating that to convert cars from traditional fuel to electric vehicles, a roadmap is needed.

The Prime Minister highly appreciated Skoda's cooperation with Thanh Cong Group; highly appreciated the development of Thanh Cong, which is a large budget contributor to Ninh Binh province.

Thanking Prime Minister Pham Minh Chinh for his guidance, the Chairman of Skoda Group emphasized that the two sides came together first of all because of their hearts and minds; hoping that from Vietnam, the Group will expand its market; affirming that it will make efforts and closely coordinate with Vietnamese partners, committing to let Vietnam access the ecosystem and value chain of Volkswagen; hoping that Vietnamese ministries and sectors will closely coordinate and support Skoda to do business successfully in Vietnam.

The Prime Minister emphasized that the two sides need to continue to overcome difficulties and obstacles to develop together and succeed together; hope that Thanh Cong Group will improve the quality of human resources; train, foster, and improve skills and expertise for workers; improve smart management skills, reduce input costs; hope that the two sides will implement with a spirit of solidarity, harmonious benefits, and shared risks.

Source: https://nhandan.vn/mong-skoda-tich-cuc-hop-tac-chuyen-giao-cong-nghe-san-xuat-o-to-cho-viet-nam-post868122.html