Tesla is preparing to enter Vietnam, the biggest electric‑vehicle market in Southeast Asia. The move is noteworthy because the country’s EV sales are soaring, and a strong local brand already dominates the market.

Tesla announced it is recruiting staff in Ho Chi Minh City for sales, after‑sales service and charging‑infrastructure projects, signalling plans to launch commercial operations in Vietnam. The hiring drive suggests the company is laying the groundwork for a local presence.

VinFast controls around 92% of the domestic EV market, according to research by HSC, a securities company, and operates more than 150,000 dedicated charging ports nationwide, according to analyst Supparoek Sawangwong of Mobility Global. Such a network gives VinFast a clear advantage over new entrants.

Data from the International Energy Agency showed that EVs accounted for nearly 40% of all new car sales in 2025. CNBC reported that EV sales jumped 89% year‑on‑year in the second quarter of 2026, indicating rapid market expansion.

According to the report, Tesla would likely import its cars from the Gigafactory in Shanghai, China, while Vietnam’s relatively high import tariffs could make Tesla’s pricing less competitive than VinFast’s domestically produced models. However, Vietnam’s registration‑fee exemption for electric cars, extended through 2030 and applicable to imported vehicles, could help offset the cost disadvantage.

Tesla’s attempt shows that entering Vietnam requires more than a strong brand; it also demands competitive pricing, a local charging network and the ability to use government incentives. These factors will determine whether the company can gain a foothold beside VinFast.