Experience in Obtaining an Electric Vehicle Assembly License for Foreign Investors

Electric vehicles (EVs) are no longer the trend of the future — they are becoming a daily reality. With rising demand for EVs in Vietnam, especially in major cities like Ho Chi Minh City, Hanoi, and Da Nang, many foreign investors are seeing a golden opportunity to enter the electric vehicle assembly and manufacturing market in Vietnam.

However, entering this market requires more than capital and technology — it demands deep legal understanding, especially around licensing procedures in this conditional business sector.

What types of licenses are required?
Foreign investors must obtain at least three crucial licenses:

1. Investment Registration Certificate (IRC) – This is the first step, demonstrating the investor's intent to operate in Vietnam. The application is submitted to the Department of Planning and Investment (DPI) of the relevant locality.

2. Enterprise Registration Certificate (ERC) – After receiving the IRC, the investor must register a legal entity in Vietnam.

3. Sub-license for electric vehicle assembly – As this is a conditional business line, investors must obtain a production/assembly license in accordance with Decree 116/2017/ND-CP and its guiding circulars.

Additional licenses may be required for importing components or complete vehicles, including compliance with quality, technical safety, environmental protection, and customs procedures.

Common challenges in the licensing process:

• Misunderstanding or lack of legal knowledge leads to confusion between component production, assembly, and EV trading.

• Incomplete investment dossiers, such as unclear proof of financial capacity or factory origin, can result in application delays.

• Environmental protection plans are often vague or missing — a critical requirement for manufacturing.

• Lack of specialized legal support may leave investors stuck in local administrative back-and-forth for months.

DEDICA’s Practical Experience with a Korean EV Manufacturer
DEDICA recently assisted a Korean EV corporation in establishing its assembly plant in Long Hau Industrial Park (Long An). Key success factors included:

1. Clear investment strategy from the start – DEDICA helped the client plan everything from location and land use to investment capital and regulatory alignment.

2. Full legal support from licensing to compliance – DEDICA provided:

   • Company charter drafting

   • Trademark and industrial design protection

   • Product quality certification procedures

   • Liaison with the Ministry of Transport, Department of Transport, and Ministry of Industry and Trade

Within just 45 working days, the client received all necessary licenses — a rare speed in foreign investment cases.

1. Effective government communication – When additional explanations were needed (e.g., about technology or environmental impact), DEDICA quickly helped the client respond and overcome delays.

Conclusion:
EV assembly offers great potential but involves complex legal conditions. Poor preparation can cost investors time, money, and opportunities — or even administrative penalties.

DEDICA Law Firm is proud to be a trusted legal partner for foreign investors in high-tech sectors, including electric vehicles. With our experienced lawyers and deep understanding of Vietnam’s regulatory system, we help investors minimize risks and maximize opportunities.

📞 Hotline: (+84) 39 969 0012 (Support via WhatsApp, WeChat, Zalo)
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