Vietnamese automaker VinFast is struggling in the United States due to a low number of new-vehicle registrations.
Registration shortage: Citing data from Experian, Auto News reported that VinFast only received one registration in February, followed by 16 in March, 66 in April and 45 in May, marking a total of 128 registrations since January.
The Vietnamese company is reportedly ranked No. 22 out of 25 on Experian’s list of electric vehicle registrations, beating Jaguar, GMC and Mazda.
The low registration numbers came even after VinFast announced in January that it would cut the price of its VF 8 City Edition by $6,500. The company also eventually announced that its first buyers in the U.S. would receive a slashed lease price before deliveries began in March.
Another issue: VinFast is also facing a setback in its goal to begin listing shares in the U.S. since shareholders of Black Spade Acquisition, a special purpose acquisition company (SPAC) that planned to merge with the Vietnamese automaker, had reportedly redeemed over 80% of their shares worth around $147 million, the company told Reuters on Friday.
In a statement, VinFast noted that the redemption is “inline [sic] with recent trend of other SPACs seeking extension,” adding that it had “no impact on the listing process or agreed valuation.”
The merger would reportedly allow VinFast to begin listing its shares on the U.S. stock market.
Other vehicles planned: Besides the VF 8, which now starts at $47,200, the Vietnamese company also has plans to release other lineups of EVs in the U.S. market, including the three-row VF 9 crossover, which is expected to start at $84,200, in late 2023.
Two more affordable crossovers, the VF 6 and VF 7, are also being planned for release.