VinFast To Open India Plant By June-End, Says Vingroup's Chairman; Check Details Here

In addition to manufacturing, the Tamil Nadu facility will serve as a hub for developing a complete EV ecosystem in India, including battery production and a network of charging stations

VinFast, which is listed on Nasdaq and seen as a global challenger to U.S. EV giant Tesla, has earmarked $2 billion for the India project

Source : Pexels

Vietnamese electric vehicle (EV) manufacturer VinFast is set to open its new car assembly plant in Thoothukudi, Tamil Nadu, by the end of June, according to Pham Nhat Vuong, Chairman of VinFast’s parent company, Vingroup, as reported by Reuters. During a recent shareholder meeting, the Chairman outlined the company’s expansion strategy, stating, “In the near future, apart from the Vietnamese market, we will focus more on Indonesia, India, and the Philippines markets.”

VinFast, which is listed on Nasdaq and seen as a global challenger to US EV giant Tesla, has earmarked $2 billion for the India project. The first phase will involve a $500 million investment, with plans to produce up to 150,000 vehicles annually.

In addition to manufacturing, the Tamil Nadu facility will serve as a hub for developing a complete EV ecosystem in India, including battery production and a network of charging stations. Group company V-Green will seek co-investors to accelerate the rollout of this charging infrastructure across the country.

Explaining the strategic choice of location, Vuong had earlier stated: “We selected Thoothukudi for its proximity to a seaport and airport, enabling export opportunities. While we operate two plants in Vietnam with capacities of 50,000 and 100,000 vehicles respectively, India offers strong potential both for domestic sales and exports to West Asia and Africa.”

The facility is expected to generate 3,000 to 3,500 local jobs. At the Bharat Mobility Global Expo 2025, VinFast showcased two premium all-electric SUVs, the VF 6 and VF 7, which are slated for launch in India later this year.

Tesla’s Entry Into India

Meanwhile, Tesla, led by Elon Musk, is also moving closer to establishing a footprint in India. Discussions have gained momentum under the current US administration, bolstered by Musk’s strong rapport with President Donald Trump.

Earlier this year, Musk met with Prime Minister Narendra Modi during the PM’s US visit, with both leaders reportedly discussing Tesla’s potential investment in India. The two also spoke via phone recently, following which Musk confirmed plans to visit India later in the year.

As part of its initial setup, Tesla has leased a 5,850 sq ft office in Pune and has begun hiring for its India operations. In February, the company posted job listings for 13 positions across Mumbai and Delhi, signaling its intent to build a local team.