ClockTuesday, 27/05/2025 14:15

Kim Long Motor and industrialization turning point

HNN.VN - The Kim Long Motor Hue Automobile Manufacturing and Assembly Industrial Park project is making a strong impact and is seen as a new industrial launchpad for Hue.

The KIMLONG X9 minibus is first launched in HueAnnouncing the plan to build the Kim Long Truong An Vietnam passenger car manufacturing plant (5-7 Seats)

 Fully automated auto production and assembly line at Kim Long Motor Hue. Photo: Kim Long Motor

A production chain takes shape

Beneath the blazing sun, Kim Long Motor Automobile Manufacturing and Assembly Industrial Park in the Chan May - Lang Co Economic Zone (Phu Loc District) hummed with activity as machines and workers operated at full capacity. Le Van Toan, 39, works with a steady concentration in a bus assembly section. Before the factory launched, his employment was sporadic, and income uncertain.  After being trained and hired, with a stable monthly salary of over VND 9 million, insurance, and modern working conditions, he said his life has changed for the better.   

Since its launch in 2024, Kim Long Motor has created thousands of jobs, mostly for residents of Phu Loc District and nearby localities.  

According to Dao Viet Anh, General Director of Kim Long Motor, the company’s goal goes beyond employing manual workers; it focuses on investing in people to master technology and foster sustainable production growth.  

Job creation is only one facet of Kim Long Motor’s broader vision. Covering more than 600 hectares, the automobile industrial zone is designed as a diversified complex encompassing bus, passenger vehicle, truck, and minibus manufacturing, along with engine production, gearbox assembly, supporting components, and semiconductor factories. With automation at the engine plant hitting 90%, it is regarded as one of the most advanced production lines in Vietnam today.

In its first operational year, Kim Long Motor added almost VND 800 billion to the city’s budget, and the company aims to contribute upwards of VND 2,000 billion in 2025, a notable figure amid the ongoing challenges in the local economy.

 Kim Long Motor Hue’s modern production system. Photo: Kim Long Motor

According to Kim Long Motor’s leadership, by early 2025, the company’s complex in the Chan May - Lang Co Economic Zone had clearly defined its functional zones and was gradually bringing an end-to-end production chain-ranging from basic to advanced stages-into operation. Covering more than 600 hectares, the project is designed as a modern industrial complex integrating manufacturing, research and development, component production, vehicle assembly, and internal logistics - a model rarely seen in central Vietnam.

Expanding partnerships, boosting exports

International development and cooperation have been key strategic pillars pursued by Kim Long Motor since its founding. Amid Vietnam’s automotive industry undergoing transformation but still lacking core technological foundations and a comprehensive supporting ecosystem, the company identifies “partnering with industry giants” as the shortest path to breakthrough.

That is also why, in early 2025, Kim Long Motor signed a strategic joint venture agreement with Changan Automobile Group, one of China’s largest car manufacturers. Under the agreement, the two parties will build a 5-7 seat passenger car factory in Hue, with a designed annual capacity of 50,000 vehicles, and production is set to begin in late 2025. More than just assembly, the project entails extensive cooperation in technology, supply chain integration, and brand development strategy.

The plant’s product localization is projected at 40% during the initial phase, targeting over 80% by 2026 - a notably high figure in Vietnam’s current automotive sector. According to Vuong Huy, Deputy General Director of Changan Automobile Group, “Kim Long Motor has a serious and long-term vision. We are confident that this partnership will unlock opportunities for both sides to advance deeper into the Southeast Asian market.”

According to Kim Long Motor, production at the joint venture plant will begin with DEEPAL-branded vehicles - a line of smart electric cars developed by Changan that has already proven successful in the Chinese market. The product lineup may later expand to include hybrid models, electric trucks, and customized versions tailored to infrastructure and climate conditions in Vietnam and ASEAN.

One highlight of the company’s business performance is its exports. In April 2025, for instance, Kim Long Motor signed a contract with South Korea’s Daon Mobility to supply 200 KIMLONG-branded electric buses for school transport and tourism in major cities including Seoul, Incheon, and Busan.

The first shipment of 50 fully built vehicles is scheduled for export by the end of the second quarter. This marks the first time an automaker from Central Vietnam has entered the South Korean market, which is known for its stringent safety, engineering, and environmental standards.

Mr. Kim Hyun, Chairman of Daon Mobility, said: “We are very impressed by Kim Long Motor’s modern production system and strategic vision. Their electric vehicles not only meet technical standards but also demonstrate a spirit of openness, professionalism, and an aspiration to go global.”

Operating in the challenging automotive industry, it is unprecedented for a Hue-based domestic company to successfully establish a modern manufacturing system, expand exports, and attract global investment. The ongoing progress at Chan May – Lang Co means the dream of becoming a “national modern industrial center” is transforming from slogan to reality.

In 2025, Hue City targets a 9-10% increase in its industrial production index (IIP), with industrial output valued at VND 53,000 to 54,000 billion. The city’s automobile sector alone anticipates manufacturing 8,000 vehicles, comprising 4,000 buses with more than 16 seats, 2,600 minibuses, and 1,400 trucks.

In February 2025, Mr. Le Truong Luu - Member of the Party Central Committee, Secretary of the Hue Party Committee, Chairman of the People's Council, and Head of the city's National Assembly delegation - conducted an on-site inspection of the Kim Long Motor project. He affirmed that it is one of Hue’s key projects, warranting the highest priority in terms of administration, infrastructure, and resources. “Kim Long Motor is not just a manufacturing facility,” he emphasized. “It stands as a symbol of the city’s transformation…”

Story: Le Tho
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