VinFast might be struggling in the United States, but the company is forging ahead globally as they’ve announced plans to build a new plant in India.
The facility will be located in Thoothukudi and is slated to cost up to $2 (£1.6 / €1.8) billion. $500 (£392 / €456) million is being invested in the first phase of the project and VinFast says it’s a “significant step” into the world’s third-largest vehicle market.
Construction is set to begin later this year, and the plant is expected to employ between 3,000 and 3,500 people. It eventually aims to become a “first-class electric vehicle production hub” with an annual capacity of up to 150,000 units.
More: VinFast Breaks Ground On U.S. Factory, Set To Begin Production In 2025
The plant is slated to become VinFast’s third manufacturing facility and the largest investment in the history of the Indian state of Tamil Nadu. Unsurprisingly, the company plans to open a nationwide dealership network in India, which will “establish a strong brand presence and swiftly connect with customers across the country.” The company also noted they’ll “seize growth opportunities in the world’s most populous nation and rapidly expanding EV market.”
VinFast Global’s Deputy CEO of Sales and Marketing, Tran Mai Hoa, said the Memorandum of Understanding “demonstrates VinFast’s strong commitment to the sustainable development and vision of a zero-emission transportation future. We believe that investing in Tamil Nadu will not only bring considerable economic benefits to both parties, but will also help accelerate the green energy transition in India and the region.”
Those sentiments were echoed by Tamil Nadu’s Minister of Industries, Dr. TRB Rajaa, who said “EV manufacturing companies are not only important economic drivers, but also powerful accelerators to the State’s green vision. We are delighted that VinFast has chosen to invest in Tamil Nadu to establish its integrated EV facility.”
There’s no word on what will be built at the plant, but VinFast’s lineup has been growing and includes the VF 5, 6, 7, 8, and 9. Additional models are on the horizon including the eye-catching VF 3.
