VinFast Still Monitoring Impact of Israel–US vs Iran Conflict: Prices Not Yet Confirmed to Rise

JAKARTA, KOMPAS.com - VinFast, the Vietnamese electric-vehicle manufacturer, is also monitoring the global escalation involving Iran, Israel and the United States that could affect the world automotive industry’s supply chains. The tension also raises concerns about global logistics routes, including in the event the Strait of Hormuz is closed. This strategic shipping lane is recognised as one of the main routes for energy distribution and international trade.

VinFast Indonesia Chief Executive Officer Kariyanto Hardjosoemantoro said that to date the company has not observed any direct disruption to component supplies or its operations.

Nevertheless, he acknowledged that developments in the conflict remain difficult to predict. If the escalation continues, potential impacts on the global supply chain will need to be anticipated.

“But going forward, we cannot yet determine whether it will cool down or escalate further. But of course we will closely monitor,” he said.

Kariyanto also mentioned potential other impacts such as higher production costs that could ultimately affect vehicle prices. However, at this time the company cannot confirm any price adjustments.

“The possibility of every outcome certainly exists,” Kariyanto said.

By increasing engagement with domestic suppliers, the automotive industry is seen as more resilient to global logistics disruptions.

“We also see the importance of a local supply chain, so we will continue to monitor. We hope all conditions will soon cool down, stabilise again, so we can do business as before,” Kariyanto said.