VinFast to invest US$500 million in India to expand manufacturing
The company plans to increase production to 150,000 annually within a year and double it in the next three years
[DELHI] VinFast Auto, Vietnam’s largest carmaker, plans to invest US$500 million in India to expand its manufacturing operations to include electric buses, scooters and charging infrastructure, it said.
The southern Indian state of Tamil Nadu will allocate around 200 hectares (494 acres) of land adjacent to the company’s existing facility to support its plans, the statement, sent late Thursday (Dec 4), said.
As part of its expansion, the Hai Phong-based company said that it will develop “new dedicated workshops and production lines for electric buses and e-scooters, covering manufacturing, assembly, testing and other related operations”.
VinFast’s plant at Thoothukudi in Tamil Nadu started operations in July at an initial capacity of 50,000 cars a year. The company plans to increase production to 150,000 annually within a year and double it in the next three years.
The automaker delivered 97,399 electric vehicles globally in 2024 and aims to double that this year. In India, it opened its first showroom in July and plans to expand to 35 dealerships across 27 cities by December.
The plant in southern India is VinFast’s third factory and its first outside Vietnam. India is central to VinFast’s push into South Asia, the Middle East and Africa, and the company has already received orders from several countries in those regions, Asia chief executive officer Pham Sanh Chau said in July.
The statement on Thursday said that the state government will help facilitate securing permissions and setting up initial infrastructure, such as power and waste management. BLOOMBERG
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