VinFast-linked taxi firm GSM eyes US, EU expansion ahead of Hong Kong IPO
Green and Smart Mobility will rely on company-owned cars and employed drivers for its launch in new markets
Green and Smart Mobility (GSM), a joint venture between Vietnam's leading carmaker VinFast and the country's electric taxi operator, is set to expand its operations into the United States, Sweden, the Netherlands and other European markets ahead of a planned 2028 initial public offering in Hong Kong. This expansion reflects the company's ambitious growth strategy, as it seeks to capitalize on the increasing popularity of its electric vehicles while increasing VinFast's international sales.
The firm plans to deploy fleets in the US, Sweden and the Netherlands by the end of this year and will further expand into additional European markets in 2027. GSM's growth strategy relies on a model that involves employing drivers who operate company-owned vehicles, which are purchased at discounted prices from VinFast. This approach contrasts with lighter-asset models used by competitors like Grab or Uber, which primarily rely on self-employed drivers with their own vehicles.
Despite its rapid expansion in Vietnam, GSM is currently unprofitable. To address this, the company is gradually shifting towards a hybrid business model that combines company-owned and freelance drivers to reduce costs and boost fleet capacity.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
