Green Transition: An Irreversible Global Trend and Vingroup’s Pioneering Steps
Written by Daily Sun
The company is positioned as a pioneer in Vietnam's green transition.
Vinhomes Ocean Park 1 urban area, part of the Vingroup ecosystem
Vingroup has clearly defined its pioneering role in promoting the green transition, not just through words but through concrete actions. Notable examples include Vinhomes' green real estate strategy and VinFast's electric vehicle product lines. These bold moves by Vingroup are shaping a green ecosystem, creating a new, environmentally friendly, and smarter lifestyle in Vietnam.
In the real estate sector, Vinhomes has pioneered the development of green urban areas, creating favorable conditions for residents to adopt a green lifestyle. With amenities such as electric vehicle charging stations and readily available electric buses, and meticulously planned green spaces, Vinhomes is not just building houses but also creating sustainable living environments where residents can enjoy a healthy, convenient life while contributing to environmental protection.
VinFast, Vingroup's automotive arm, transitioned to producing fully electric vehicles in 2022. Through attractive promotional and marketing campaigns, this subsidiary has encouraged its Vietnamese customers to join the national green transition initiative while simultaneously transforming the entire automotive market landscape in the country. Customers enjoy perks like free parking, long-term free charging, and assistance with installing home charging stations. VinFast vehicles are not only environmentally friendly but also feature futuristic designs, smart safety features, and advanced technology, symbolizing a new lifestyle.
Having achieved unicorn status, VinFast earned a place on TIME Magazine's 2024 list of the 100 Most Influential Companies, joining the ranks of global giants like Google, Microsoft, and BMW. VinFast is making a strong push into international markets, including the US, Canada, Europe, and Asian countries like India, Indonesia, and the Philippines.
On July 31st, the company made a significant move by opening its first Middle East showroom in Oman, marking its entry into this region. The next target markets are Qatar and the UAE, where VinFast has recently completed partnership agreements with local dealerships. VinFast's diverse product portfolio and excellent after-sales services promise to deliver unique and exciting experiences in the journey toward electrification for consumers in the Middle East.
Vingroup's real estate and electric vehicle sectors have become significant revenue drivers, exceeding $6.5 billion in 2023. In the first quarter of 2024, the company reported a consolidated net revenue of $853.7 million and a net profit of $52.5 million, highlighting its financial strength and the importance of its key business sectors.
In March 2023, Pham Nhat Vuong, Chairman of Vingroup, established GSM, Vietnam's first all-electric ride-hailing service using 100% VinFast all-electric cars. These partnerships and initiatives not only promote VinFast electric vehicles but also help establish smart, environmentally friendly transportation habits among Vietnamese people.
With its strategic vision and concrete actions, Vingroup is not only solidifying its position in Vietnam but also making its mark internationally, building a green and smart ecosystem aimed at a sustainable future. Vingroup's efforts were further recognized with the ASEAN Sustainable Technology Award 2023, affirming its commitment to integrating sustainable practices into its core business strategies. The path ahead holds immense potential, and this Vietnamese conglomerate appears well-positioned to make a lasting impact.
