VinFast plans to invest $500m in India as the Vietnamese carmaker moves to scale up its manufacturing base and extend its range beyond electric cars.
The planned outlay is aimed at adding production capacity for electric buses, e‑scooters and charging infrastructure, the company said in a statement.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The government of Tamil Nadu in southern India will provide around 200 hectares (494 acres) of land next to VinFast’s existing facility in Thoothukudi to support the expansion.
According to the company, the additional space will be used to build “new dedicated workshops and production lines for electric buses and e-scooters, covering manufacturing, assembly, testing and other related operations.”
VinFast’s Thoothukudi plant, which began operations in July, currently has capacity to produce 50,000 cars a year.
The firm intends to lift annual output to 150,000 units within a year and then double that figure over the following three years.
The automaker said it delivered 97,399 electric vehicles worldwide in 2024 and is targeting a twofold increase in deliveries this year.
In the Indian market, VinFast opened its first showroom in July and is working towards a network of 35 outlets across 27 cities by December.
The Thoothukudi facility is VinFast’s third manufacturing plant and its first outside Vietnam.
The company’s statement noted that the Tamil Nadu government will support the project by easing approvals and helping establish core utilities including power and waste management systems.
Vingroup Asia CEO and VinFast Asia CEO Pham Sanh Chau said: “The proposed expansion of the Tamil Nadu plant will enable us to broaden our product lineup 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.”
