Mitsui buys stake in Tasco Auto in wager on Vietnam’s progress

Mitsui & Co. has invested within the auto unit of Vietnam’s Tasco because the Japanese buying and selling home seeks to profit from the rising demand for autos within the Southeast Asian nation.

Mitsui made an preliminary funding in Tasco Auto on July 31, in accordance with a joint assertion Friday, which didn’t disclose the worth or measurement of the stake. The deal makes Mitsui a strategic investor and can assist Tasco’s long-term plans, they stated.

Shares of Mitsui rose as a lot as 5.1% on Friday, whereas Tasco added as a lot as 3.6%, its greatest intraday acquire since July 9.

Tasco Auto, which has 90 showrooms that includes 14 manufacturers together with Ford, Nissan and Volvo, intends to launch an entire knockdown automobile undertaking this 12 months to assemble passenger autos with a world automaker, in accordance with the assertion. It didn’t reveal the identify of the accomplice.

Vietnam’s passenger automobile gross sales totaled 19,126 models in July, up 8.2% from the identical month final 12 months, the Vietnam Automobile Manufacturers’ Association stated Tuesday. Shipments for the primary seven months of 2024 totaled 102,293.

With a presence in over 60 international locations and a portfolio masking a spread of industries, Mitsui in March stated it will additionally spend money on a Vietnamese fuel area.