Insufficient market power for the Chinese exporter to obtain necessary production capacity, according to the Commission's findings.

Kim Long Motor, a Vietnamese automaker, has announced plans to start the production of battery systems for its electric buses in early 2026. The production will take place at a newly established plant within an industrial zone in Hue, Vietnam.

The initial capacity of the battery systems production in the first phase will be one gigawatt-hour per year. The batteries will be built by Kim Long Motor itself, using cylindrical lithium-ion cells supplied by South Korean battery manufacturer LG Energy Solution. These cells feature Nickel Manganese Cobalt (NMC) chemistry.

Kim Long Motor will be responsible for assembling the battery cells into complete battery systems. The manufacturing process for these battery systems will have an automation rate of up to 90%. The location of the pack assembly site was not specified earlier, but it will now be situated in a nine-hectare area within the industrial zone of Hue.

The cooperation between Kim Long Motor and LG Energy Solution aims to secure the supply of batteries for electric vehicles. The long-term goal of this partnership is to achieve a localization rate of more than 80% for the battery systems.

Further expansion of the production capacity is possible in the coming years, as the investment volume for this project is approximately $46 million. However, the search results do not contain information about the investor for the planned expansion of Kim Long Motor's production facility in Huế, Vietnam, specializing in batteries for electric buses.

This move is a significant step forward for Kim Long Motor, as it continues to expand its presence in the electric vehicle market. With the production of its own battery systems, the company hopes to improve efficiency, reduce costs, and ensure a steady supply of batteries for its electric buses.