Published - August 21st, 2023 @ 9:47 AM (GMT+2)

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This week witnessed pivotal events in the dynamic world of electric vehicles (EVs). VinFast, hailing from Vietnam, made a grand entry into the U.S. stock market, while Tesla (NASDAQ:TSLA), the EV giant, intensified its pricing game in China.

VinFast's (NASDAQ:VFS) introduction to the U.S. stock market was truly exceptional. On its inaugural trading day, the company's shares soared by a staggering 270%, touching a peak of $37. This rise followed the stock's debut price of $22 per share after amalgamating with the special-purpose acquisition entity Black Spade. This collaboration pegged VinFast's worth at around $50 billion, a considerable jump from the initial $10 per share or $23 billion deal with Black Spade. Consequently,

VinFast's market value rocketed past $85 billion, outpacing industry titans like Volkswagen and Ford, valued at $69.7 billion and $48 billion, respectively.
Yet, VinFast's shares saw a 45% drop after this zenith. Still, it claims the title for the largest market cap among Vietnamese companies in the U.S.

Challenges for VinFast in the U.S.:
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VinFast, a household name in Vietnam for its top-selling cars, has found its U.S. journey to be rocky. The company initiated its U.S. shipments earlier this year but faced skepticism, particularly for its electric SUV, the VF 8. Prominent auto journals like Road & Track and MotorTrend voiced their concerns about the model. In response, VinFast recently rolled out software updates, taking cues from vehicle owners and auto critics. The shares wrapped up the week at a value of $15.40.

Tesla's Pricing Dynamics in China:
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‍Meanwhile, Tesla is causing ripples with its pricing maneuvers in China. The firm unveiled price cuts for its Model Y series in China and is extending insurance discounts for its basic Model 3 variant until the close of September. This strategy emerged after Tesla noted a 31% sales downturn in China in July, marking its first since the last December. Tesla has been rolling out steeper discounts to fortify its dominant market position since the previous year's end. Elon Musk, the helm of Tesla, suggested that the firm might persist with its price reductions, underlining the prospective value augmentation of their cars once the Full-Self Driving feature is refined.
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Mullen's Strategy to Align with Nasdaq:
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‍In another development, Mullen, an emerging EV contender, strives to adhere to Nasdaq's (NASDAQ:NDAQ) trading norms. The enterprise unveiled a $25 million stock repurchase scheme, targeting the acquisition of 3.7M shares by the year's culmination. This initiative is pivotal for Mullen; as per Nasdaq stipulations, a firm's share valuation must hover at or above $1. Consistently failing this benchmark for ten successive trading sessions jeopardises the company's listing status. Mullen recently undertook a 9:1 reverse stock split, nudging its share value beyond the $1 threshold. Yet, sustaining this rate has been a hurdle. Mullen's CEO, David Michery, showcased his faith in the stock's worth, underscoring their robust financial standing and active manufacturing. The week he concluded with Mullen's shares standing at $0.64.



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