Vietnamese electric vehicle (EV) maker VinFast plans to begin production at its India plant by mid-2025, six months ahead of schedule. The Tuticorin facility, with an initial annual capacity of 50,000 EVs, will serve both domestic and export markets.
VinFast Chairwoman Le Thi Thu Thuy highlighted the critical role of the India plant in the company’s global strategy. Supported by a $2 billion agreement with the Tamil Nadu government, the plant will assemble CKD parts initially, with the potential to scale production to 300,000 units annually.
VinFast continues to grow internationally, recently opening its first dealership in Dubai, marking its entry into the Middle East. International sales accounted for 9% of total deliveries in Q3 2024, up from 3% the previous year. Key markets include the US, Canada, and Southeast Asia.
In Q3, the company delivered 21,912 EVs domestically, a 115% year-on-year increase. However, it has achieved only 55% of its 80,000-unit annual target, raising concerns about meeting year-end goals.
VinFast Auto India has increased its authorised capital from ₹208 crore to ₹1,250 crore, according to filings with India’s Registrar of Companies. It has also signed Letters of Intent with dealers in 15 major Indian cities to establish a strong presence.
Globally, the company operates 173 showrooms and increased Q3 capital expenditure by 21% to $132 million, driven by investments in its Indian and Indonesian plants. While the Indian plant will cater to both local and export markets, a new CKD facility in Vietnam will focus on domestic demand, which currently accounts for 90% of deliveries.
AUTO TECH | CAAM Warns Automakers: Rethink US Chips Amid New Restrictions
