VinFast begins building $500 mln EV factory in India

VinFast Auto, the electric vehicle (EV) arm of Vietnamese conglomerate Vingroup, officially broke ground on its first integrated EV manufacturing facility in the state of Tamil Nadu, India, on Sunday.

This landmark project, creating employment opportunities for approximately 3,500 local residents, affirms VinFast’s commitment to global green transportation.

While strengthening partnerships with world-leading suppliers, VinFast also plans to promote localization, contributing positively to local economic growth, the EV maker added in a release.

Spanning 400 acres within the State Industries Promotion Corporation of Tamil Nadu (SIPCOT) industrial estate, the EV facility boasts a total initial investment of $500 million over five years, out of the total investment of $2 billion, with a projected capacity of 150,000 vehicles annually, VinFast said.

“This milestone strengthens the bonds between the robust economies of Vietnam and India, and underscores VinFast’s dedication to a zero-emission transportation future,” Pham Sanh Chau, CEO of VinFast India and former Vietnamese Ambassador to India, said at the event.

India represents a key market in VinFast’s global expansion plan, capitalizing on the potential presented by this rapidly growing market, VinFast highlighted.

In addition to the manufacturing facilities, VinFast plans to establish a nationwide dealership network to build a strong brand presence and swiftly connect with customers across the country.