Starting in November 2025, VinFast Philippines will apply a Residual Value Guarantee (RVG) plan based on a fixed annual depreciation schedule. But what exactly is resale value, and why is it a concern for some would-be vehicle owners?
A vehicle’s resale value is something that demand in the used car market dictates, but for the RVG Program to work, VinFast itself is setting the vehicle’s resale value.
Once the vehicle is inspected and confirmed to meet eligibility criteria, the maximum guaranteed residual values are set at 90 percent after six months of use, 86 percent after one year, 78 percent after two years, and 70 percent after three years. VinFast will buy back the vehicle from the owner as a way to achieve this guaranteed resale value, though whether this is sustainable in the long term has yet to be seen.
The RVG Program applies to VinFast’s entire product lineup in the Philippines, from the VF 3 to the VF 9, and is available to new customers.
Mr. Antonio Zara, CEO of VinFast Southeast Asia, says: “With a residual value guarantee of up to 90% of the vehicle’s list price, VinFast aims to make EV ownership more accessible and reassuring for Filipino consumers. When combined with our other support programs, we believe electric vehicles will soon become a natural and reliable choice for households and individual users across the Philippines. This program reflects our long-term commitment to the market and reinforces our strong belief in the quality of our products.”
These days, and you’ll probably see this in news headlines in certain overseas markets, EV resale values tend to be lower than their pure internal combustion engine (ICE) and hybrid counterparts. That’s because EVs evolve so quickly that a five-year-old EV can easily feel outdated due to its older battery chemistry and slower charging speeds, among other reasons. There’s also the part that the used car buyers in general have a lot of questions regarding the longevity of used EVs. This is new technology, after all.
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