VinFast Will Invest $2 Billion For Tamil Nadu Integrated EV Plant

VinFast, the prominent electric vehicle (EV) manufacturer in Vietnam, has unveiled plans to establish an electric vehicle plant in the coastal town of Thoothukudi in southern Tamil Nadu, with a substantial investment totaling $2 billion. This announcement coincides with the ongoing Tamil Nadu Global Investors Meet in Chennai.

In an official statement, VinFast declared its collaboration with the Tamil Nadu Government to achieve a comprehensive investment of up to $2 billion. The initial phase of the project will witness a committed investment of $500 million over five years from the project’s commencement date. This strategic move underscores VinFast’s significant stride into the world’s third-largest vehicle market.

The construction of the plant is anticipated to commence in 2024, aiming to transform into a regional hub for electric vehicle production with an annual capacity of up to 150,000 units.

Beyond the economic advantages, the project aspires to foster green transportation development, targeting a 30% incorporation of newly registered private cars being electric. This aligns seamlessly with the State government’s initiatives to reduce carbon emissions within the transportation sector.

Marking as third manufacturing project of VinFast, this venture stands as the largest investment in Tamil Nadu’s history. The State government is committed to providing cleared land for manufacturing facilities, ensuring uninterrupted power supply, and offering other infrastructure support to the best of its capabilities. Furthermore, both parties are set to continue collaborating, exploring opportunities for charging stations, steering towards a cleaner and more sustainable future for mobility.

Tran Mai Hoa, Deputy CEO of Sales and Marketing, VinFast Global, said, “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.”

TRB Rajaa, Tamil Nadu Industries Minister, added, “EV manufacturing companies are not only important economic drivers but also powerful accelerators to the State’s green vision. I believe that VinFast will emerge as a reliable economic partner and substantial contributor to Tamil Nadu’s long-term development.”