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Vietnamese EV automaker VinFast has just secured more funding to continue its operations. VinFast has been offered a loan for billions more from its parent company, Vingroup, including a $2.1 billion “sponsorship” from the Group’s chairman, Pham Nhat Vuong. All this is to achieve a break-even point and cash flow balance by the end of 2026.

As a young EV automaker out of Vietnam, VinFast remains the new kid on the block. To make a name for itself out of the gate, however, the automotive business entity under Vietnam’s largest conglomerate, Vingroup, came out absolutely sprinting off the starting line.

When we saw VinFast debut, it shared immediate plans for simultaneous market entries into the US and Europe, plus plans for an IPO, and several all-electric models entering production.

The “move fast and break stuff” strategy has worked for other new companies in the past, but part of that wreckage usually includes the bank. Scaling is not easy (or cheap), and at the rate VinFast has been moving, it’s even more expensive to do it so hastily.

According to a December 2022 filing with the SEC, VinFast reported whopping net losses of $1.3 billion in 2021 and $1.45 billion through September 30, 2022, with additional losses expected to incur “in the near term.”

In February 2023, Vingroup chairman Pham Nhat Vuong stated he had no intentions of investing any more of his personal money in the automaker. Vuong’s personal assets contributed to the initial $7.5 billion already allocated to VinFast from 2017-2022, alongside money from Vingroup and other lenders.

However, by April of that same year, VinFast received $500 million in nonrefundable grants from Vingroup. Furthermore, Vuong reversed his previous vow and offered the automaker another $1 billion in funding to keep going.

The automaker has since made more headway in global markets but has yet to become a household name. As such, VinFast has taken out another loan from Vingroup and additional funding from its chairman to keep it going through 2026.

VinFast loan
Vingroup chairman Mr. Pham Nhat Vuong / Source: VinFast

VinFast accepts $1.4B loan from Vingroup plus more

VinFast shared news of its fresh round of funding this morning, which includes a loan of up to 35 trillion Vietnamese dong ($1.4 billion) from Vingroup by the end of 2026. Additionally, Chairman Vuong has personally pledged another 50 trillion dong ($2.1 billion) in sponsorship. The company stated that Vuong’s personal financial commitment will not impact the interests of Vingroup or its shareholders.

In a separate move, Vingroup will convert all existing loans, totaling approximately 80 trillion dong ($3.3 billion), to VinFast into dividend-entitled preferred shares. Per the release:

By converting loans to VinFast totaling about 80 trillion dong into preferred equity shares of VinFast Vietnam, Vingroup aims to alleviate short-term financial pressure on the electric vehicle maker. This move will allow Vingroup to maintain its stake in VinFast through dividend rights and the option to convert preferred shares into common shares of VinFast Vietnam Manufacturing and Trading Company or interests in VinFast Singapore.

VinFast shared that this loan and financial support plan aims to provide it with the necessary resources to fund operations, investments, and other obligations. Furthermore, Vingroup’s loan and sponsorship aim to help VinFast achieve the break-even point and cash flow balance by the end of 2026. A representative of Vingroup chairman Vuong’s office spoke about VinFast’s loan support strategy:

With the passion to create a world-class Vietnamese electric car brand, Mr. Pham Nhat Vuong will allocate significant resources to propel VinFast’s advancement. The newly secured funding source provides VinFast with the necessary financial resources to achieve sustainable growth without relying on external capital. This strategic move enables VinFast to prioritize research and development, production, and business expansion.

Despite having billions in loans and financial sponsorship lined up as a safety net, VinFast said it would continue to seek independent capital raises to meet its financial needs. The pledged funds from Vingroup and Chairman Vuong will be utilized only if those efforts are not successful.

Previous funds enabled VinFast to complete the construction of its 300,000-vehicle-per-year manufacturing plant in Cat Hai, Hai Phong, and the R&D of its entire BEV lineup. The company said it is now in a growth phase and has shifted its focus to “boosting sales across all markets and optimizing its cost structure.”

VinFast has delivered over 51,000 electric vehicles in Vietnam through the first ten months of 2024, but sales outside of its native country are going more slowly. Revenues are up, but delivery numbers are not where VinFast would like to be just yet.

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IRS gives a little more time for electric car buyers to secure the $7,500 tax credit

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IRS gives a little more time for electric car buyers to secure the ,500 tax credit

The IRS has updated the terms of the phase-out of the federal tax credit for electric vehicles to give buyers a little more time to secure the $7,500 tax credit.

Trump’s ‘Big Beautiful Bill’ set a deadline of September 30th to end the $7,500 tax credit for new electric vehicles and the $4,000 credit for used ones.

It looked clear that buyers needed to take delivery before the end of the day on September 30th in order to get the credit, but the IRS has now updated its website to give some leeway to buyers, dealers, and automakers.

The agency wrote in an update on its website:

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 If a taxpayer acquires a vehicle by having a written binding contract in place and a payment made on or before September 30, 2025, then the taxpayer will be entitled to claim the credit when they place the vehicle in service (namely, when they take possession of the vehicle), even if the vehicle is placed in service after September 30, 2025.

If a buyer has a binding order, not a reservation, and has placed a deposit, they can claim the tax credit once they take delivery, even if it’s after September 30th.

Interestingly, the IRS doesn’t mention a time limit after September 30 to secure the tax credit if you have a deposit on a binding contract.

Electrek’s Take

The last time the tax credit was eliminated, there was at least a planned phase-out period. This time, it looked like it was going to be a clean cut, making it difficult for buyers, dealers, and automakers.

This should make things a little easier.

The end of the tax credit has pulled forward a ton of EV demand into Q3 and it will likely exhaust a lot of automakers’ and dealers’ EV inventory.

They are also all rushing to deliver new orders by September 30th, but now it appears that the tax credit money will still be available for those who lock in their orders by the end of the quarter.

Now, this could also open the door to some shenanigans as automakers could try to convert reservations on upcoming electric vehicles that deliver further down the line, but that would be a risky play.

Any buyers getting into those kind of deals should do it at their own risk.

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This German automaker just became the latest to back off its plans to go all in on EVs

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This German automaker just became the latest to back off its plans to go all in on EVs

Another German automaker is scaling back EV plans will continue offering hybrid and ICE vehicles. The company claims that it’s still the first German brand to offer a fully electrified lineup.

German automaker Opel drops EV commitment plans

Opel is one of the many brands under the Stellantis Group, alongside Jeep, Ram, Peugeot, Citroën, Fiat, and several others.

Although it was one of the many automakers to commit to offering an all-electric lineup, it’s now backing off its promise.

During Stellantis’ EV Day in 2021, Opel announced its intention to transition to all-electric vehicles by 2028, accompanied by a slate of new models. Former CEO Michael Lohscheller, now chief executive at Polestar, said, “As of 2028, Opel will only offer electric cars in our core market Europe.”

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On Monday, the German auto giant abandoned its plans for an all-EV lineup, saying it will continue to focus on its current “multi-energy” strategy.

Opel is the first German auto brand to offer a fully electrified model for every vehicle in its lineup, including electric (EVs), plug-in (PHEVs), and even internal combustion engine (ICE) vehicles.

German-automaker-EV-plans
Opel Corsa Electric (Source: Stellantis)

In response to media reports claiming it has changed its strategy, the company said in a statement, “This does not have to be limited to 2028 if the demand side requires otherwise.”

Although the company will continue to focus on EVs in specific regions, like the UK, France, and Germany, it will also offer other powertrain options based on demand.

German-automaker-EV-plans
Opel Corsa Electric (Source: Stellantis)

Opel, alongside British sister company Vauxhall, is one of the top-selling brands in Europe. In Germany and the UK, Opel and Vauxhall ranked first in the ever-expanding B-hatch segment through the first half of the year.

The German auto giant becomes the latest brand to scale back EV plans or shift to hybrids, following Volvo, Volkswagen, Mercedes-Benz, Audi, BMW, and others.

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New e-trike boasts 960W motor, full-suspension and 500 lb capacity

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New e-trike boasts 960W motor, full-suspension and 500 lb capacity

The electric trike world just got a new heavyweight contender. Puckipuppy’s latest release, the Rottweiler, looks like it was built to haul, climb, and cruise with equal confidence. And with full suspension as well as specs like these, it’s hard not to take notice.

At the heart of the Rottweiler e-trike is a 960W peak motor (750W “nominal”) paired with a torque sensor. That means smooth starts, steady hill climbs, and pedal assistance that feels like it’s working with you instead of for you. Of course, the included throttle allows riders to whip it around without pedaling if they prefer, but the torque sensor will hopefully remind owners that pedaling can be fun and a natural feeling too, especially when you’ve got an extra 960 watts of power helping you out.

The trike tops out at a modest 15 mph (25 km/h), keeping it relatively muted to avoid those high-speed tippy turns that trikes are notorious for. But even with the capped speed, it looks like the Rottweiler has plenty of raw hauling power to keep things fun.

The 48V 15Ah battery has 720 Wh of capacity and the company promises up to 55 miles (88 km) of range on a single charge, depending on how much weight you’re lugging around. And speaking of weight, this thing is no slouch. It’s rated for a payload capacity of 500 pounds (226 kg). That’s more than enough for hauling groceries, pets, or a load of gear down a bike path, all while keeping the SUV parked at home.

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Safety and convenience features also find a spot on the spec sheet. Integrated rear turn signals, hydraulic disc brakes, and even a parking brake make it feel more like a small utility vehicle than just an oversized e-bike. The thumb-operated reverse gear is another rare but welcome addition, letting you back out of a tight spot without doing the awkward trike shuffle. It’s rare to find an e-trike with a good (and easily accessible) reverse function, but it makes a big difference when trying to push the trike backwards on anything more than a tiny incline.

Other nice touches include a big 4.7-inch color LCD display, wild-looking butterfly handlebars for multiple riding positions, dual-beam headlights, a cushioned seat with backrest, and fat 20×4” tires that can roll over just about anything. Between those fat tires and the dual suspension setup, the trike should feel pretty darn comfortable over varied terrain.

I’m fearing how much this thing will weigh, if we ever get a chance to put one on a scale, but at least it’s packed to the brim with features!

Priced at $2,399, the Rottweiler is definitely not in the running for lowest-cost trike. There are plenty of others competing on price. This one looks like it’s trying to offer a lot more power, comfort, and features as a way to win over riders.

Electrek’s Take

While Puckipuppy isn’t quite the first dual suspension e-trike like they claim to be, there are still very few options on the market in this category, so it’s welcome news to see another full-suspension option.

The Rottweiler is interesting to me because it isn’t trying to be your fast-and-loose commuter; it’s clearly designed as a heavy-duty hauler for riders who want e-bike utility with a whole lot more stability. The 15 mph limit will feel slow to some, but for families, older riders, or anyone prioritizing cargo over thrills, this makes a lot of sense. With thoughtful design details like reverse, turn signals, and a 500-pound payload, it seems less like a bike and more like a mini pickup truck on three wheels.

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