- VinFast boosts India investment to ₹9,000 crore for EV expansion.
- New Tamil Nadu facilities will produce e-cars, buses, and scooters.
- Expansion strengthens localisation, jobs, and India-focused green mobility plans.
Vietnamese automobile manufacturer VinFast is increasing its investments in India to Rs 9,000 crore ($1 billion) as it begins selling electric vehicles and establishes a completely new factory for electric two-wheelers and buses. The firm entered into a MoU with the Tamil Nadu government for a 500-acre land area in SIPCOT Park in Thoothukudi next to its existing factory, which occupies a 400-acre land area.
“The proposed expansion of the Tamil Nadu plant will enable us to broaden our product line-up in India, from electric cars to electric buses and e-scooters, allowing us to meet a wider range of customer needs. We also expect this initiative to create new job opportunities, advance localization and strengthen the skills of the local workforce. VinFast believes that Tamil Nadu will continue to serve as a strategic hub in our global expansion journey and will play an important role in supporting India’s green mobility goals in the years ahead,” VinFast Asia CEO Pham Sanh Chau said.
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The company stated that the expansion allows it to enhance its product range from electric cars to electric buses, e-scooters, and charging infrastructure, while reinforcing its long-term dedication to the world's third-largest automotive market. VinFast initially pledged total investments of $2 billion for India and is considering growth beyond the automotive sector.
The announcement stated that the fresh investments will fund the establishment of dedicated workshops and production lines for electric buses and e-scooters, encompassing manufacturing, assembly, testing, and various related activities. By signing this MoU, VinFast advances its efforts to enhance its manufacturing preparedness in the Indian market. The initiative aims to boost supply chain localisation, generate more job opportunities, and enhance workforce skill development in the region,” it stated. The existing factory is in the process of increasing its electric car production capability from 50,000 units per year to 150,000 units.