North Carolina has filed a lawsuit against VinFast for the failure to build a mega-factory planned in Chatham County, south of Raleigh. According to local media cited by Ansa, the legal action aims to recover the expenses incurred by the local administration for site preparation and, in parallel, to regain possession of the area itself. The case is part of a context of public-private agreements designed to attract investments and transform a potentially unused area into an industrial hub capable of generating employment.
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Lawsuit against VinFast in the USA
At the center of the controversy is a significant piece of land. VinFast’s plans, linked to the March 29, 2022 agreement, included a factory of over 74,000 square meters. According to the agreement, North Carolina would provide 450 million dollars to support site preparation activities, while VinFast committed to building the plant by July 2026, employing 1,750 people by the end of the year. However, as of June, the site still appears to be bare land, an element that, according to the State in question, makes the completion within the agreed timeframe highly unlikely.
Mega-factory significantly delayed
For this reason, North Carolina concluded that the factory would not be completed by July 2026 and initiated procedures for the termination of the agreement. Attorney General Jeff Jackson stated that VinFast had agreed to build a factory and create jobs for the State’s citizens but did not keep the promise. Furthermore, he emphasized that the agreements include protections for taxpayers and that, consequently, the administration intends to enforce these guarantees to identify an alternative project capable of generating employment at the designated site.
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