Vietnamese EV Ggant scouts locations in Tamil Nadu and Gujarat for a potential $200m facility, targeting a booming market
VinFast Auto, the Vietnamese electric vehicle (EV) manufacturer, is scouting to find a suitable site in India for a new manufacturing facility. The company's teams have inspected two prime locations in Tamil Nadu and are soon set to explore options in Gujarat, according to a recent report by The Economic Times.
Having entered the EV manufacturing realm in 2021, VinFast representatives surveyed potential sites in the Manalur region, situated north of Chennai, and the southernmost district of Tamil Nadu, Tuticorin. A key factor influencing VinFast's decision is the proximity to a port, making Tamil Nadu and Gujarat attractive propositions. Tamil Nadu's strategic East-West linkage offers added benefits, particularly considering VinFast's interests in the East Asian markets.
Confirming their plans for India earlier this month, VinFast revealed an initial investment projection of around $200 million. The objective is to commence the assembly of vehicles by 2026 in a market they recognise as having significant growth potential.
VinFast's expansion vision was shared during its second-quarter earnings declaration on September 24, with a keen interest in the Indian marketplace forming a central pillar of its strategy. Le Thi Thu Thuy, VinFast Auto's managing director and global CEO, elucidated on October 5, mentioning a potential production capacity of up to 50,000 cars annually in Phase I.
VinFast, established in 2017, has showcased its ambitious roadmap, aspiring to rival Tesla in the U.S. market. As per recent evaluations, with a market capitalisation of $25.7 billion, VinFast is the world's 17th most valuable automaker.