VinFast to Start Construction of EV Manufacturing Plant in India on February 25

Published On: 23 February 2024
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In January 2024, the EV company signed a Memorandum of Understanding (MoU) with the Tamil Nadu state government to bring its electric vehicles to India.

Vietnam-based electric vehicle manufacturer VinFast is gearing up to commence construction of its EV manufacturing plant in India. The inauguration ceremony of the facility will be conducted on February 25, 2024. The manufacturing facility will be located in Thoothukudi, Tamil Nadu. The Vietnamese EV maker announced that the new plant is all set to create 3,000-3,500 job opportunities for the masses.

In January 2024, the EV company signed a Memorandum of Understanding (MoU) with the Tamil Nadu state government to bring its electric vehicles to India. As per the agreement, for the first five years, the automaker will invest USD 2 billion (approximately INR 16,638 crore), with a starting investment of USD 500 million (approximately INR 4,160 crore). The facility will initially have a yearly capacity of around 150,000 EVs per year. The auto giant will manufacture EVs and EV batteries at the new factory. The EV maker will also export its EVs from India to other markets across the world.

The Vietnamese automaker claims that its new EV production facility will contribute to curbing carbon emissions in the transport sector of the country. The Indian government is targeting 30 percent of new registered private vehicles to become EVs, and VinFast’s models can aid the government in achieving this goal.

VinFast has recently declared that it is going to invest over INR 4,000 crore to set up its EV manufacturing plant in the country. The brand is the second major Asian electric vehicle brand to enter the domestic market after BYD. In international markets, the company gives tough competition to brands like Tesla.

The brand sells many electric vehicles on the market, including small EVs like VF3 and VF4, large electric sports utility vehicles like VF7 and VF9, sub-compact and compact SUVs like VF7 and VF6, and a mid-size SUV named VF8. Recently, the EV maker revealed the VF3 micro-SUV and all-new concept EV pickup truck at CES 2024.