New Delhi: India’s electric car market is attracting the attention of the world’s leading automakers, such as Tesla and Ford, who are keen to tap into the country’s growing demand for clean and sustainable mobility. However, while Tesla is still struggling to finalize its plans to enter India, VinFast EV, a Vietnamese electric vehicle manufacturer, has already taken a bold step to establish its presence in the country.
VinFast EV has announced that it will start building a 400-acre plant in Thoothukudi, Tamil Nadu, the largest electric car plant in India. The company will invest around Rs 4,144 crore in the next five years to set up the plant with an annual production capacity of 1.5 lakh vehicles. The plant will also generate employment opportunities for 3,000 to 3,500 people in the state, according to the company.
VinFast EV is a relatively new player in the automotive industry, having started its operations in Vietnam in 2017. The company initially launched scooters and cars based on BMW models and later expanded its portfolio by introducing three electric cars, two electric scooters, and an electric bus in 2021. The company also ventured into the global market by opening showrooms in the US, Europe, and Canada, selling models such as the VF8 and VF9 SUVs in the US and the VF6 and VF7 SUVs in Canada.
The company plans to launch its electric cars in India by 2025, starting with completely built models (CBU), followed by completely knocked-down (CKD) units by 2026. The company will then introduce locally made models, which could include SUVs and crossovers like the VinFast VF7 and VinFast VF6. VinFast EV aims to offer affordable and high-quality electric cars to Indian consumers and compete with other players in the segment, such as Tata, Mahindra, Hyundai, and MG.
