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Tamil Nadu Chief Minister M.K. Stalin on Monday inaugurated Vietnamese electric vehicle maker VinFast’s first manufacturing facility in India, located in Thoothukudi.
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The plant, which is VinFast’s third globally and is situated on 408 acres at the SIPCOT industrial complex in Sillanatham, has an initial annual capacity of 50,000 vehicles, with plans to ramp up production to 150,000 units based on the market demand.
The company will focus on assembling its premium electric SUV models, the VF 6 and VF 7, for both domestic sales and exports.
VinFast’s entry into India comes as the world’s third-largest automobile market sees increasing interest in electrification amid a broader industrial push for local manufacturing and supply chain diversification.
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The company’s choice of Tamil Nadu was driven by the state’s established industrial base, skilled labor pool, and port connectivity. State Industries Minister T.R.B. Raaja noted that the investment could catalyze a new industrial cluster in South Tamil Nadu, aiding India’s aspirations to become a global manufacturing hub.
Beyond vehicle assembly, VinFast is actively pursuing localisation. It has initiated discussions with multiple suppliers, including Vietnam-based component makers exploring production shifts to the company’s Indian industrial park.
The company, which delivered 97,399 EVs globally in 2024, is targeting 200,000 deliveries in 2025. In the first half of this year, it sold approximately 72,100 vehicles, most of them in Vietnam. The India facility is expected to significantly augment its ability to scale production and meet global demand.
VinFast opened pre-bookings for its VF 6 and VF 7 models in India on July 15, with a refundable booking amount of Rs 21,000. It plans to launch 35 dealerships across 27 cities, having already unveiled its largest Indian showroom in Chennai’s Teynampet district, a 4,700-square-foot space that showcases its upcoming SUV lineup.