Vietnam’s VinFast, one of the more ambitious names in the global electric vehicle space, has officially entered India with the inauguration of its first EV assembly plant outside Vietnam. The new facility, located in Thoothukudi , Tamil Nadu, was inaugurated today in the presence of the Chief Minister of Tamil Nadu, Thiru M.K. Stalin. Set on a 400-acre parcel within the SIPCOT Industrial Park, the plant marks a significant step in the company’s plans for South Asia and beyond.
India, the world’s third-largest automotive market, has attracted growing interest from global EV players, and VinFast’s investment of USD 500 million reflects both confidence in the market and a strategic long-term vision. The Tamil Nadu plant is the brand’s third operational facility and its fifth global manufacturing project.
Built for scale
What makes this particular facility stand out is the speed at which it has been brought online. From the groundbreaking ceremony to the start of operations, the entire project was completed in just 15 months — a noteworthy achievement for a project of this scale, and one that underscores the intent behind VinFast’s India plans.
VinFast factory in Thoothukudi
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Special Arrangement
The plant will begin operations by assembling the VF 6 and VF 7 electric SUVs, with an initial annual production capacity of 50,000 units. The site, however, has been built with the ability to scale up to 150,000 units per year as demand grows. The integrated complex includes body, paint, and assembly shops, a quality control centre, and a logistics hub. There is also an auxiliary cluster that will support local suppliers and service providers, which is expected to expand in parallel with production.
With a projected 3,000 to 3,500 direct jobs, and thousands more in indirect employment, the new plant is also expected to give a strong economic push to the southern region. The broader ambition is to position Tamil Nadu as a key hub for EV manufacturing—not just for India, but for export markets across South Asia, the Middle East, and Africa.
VF 6 and VF 7: First Products for India
At the heart of VinFast’s India entry are the VF 6 and VF 7 — two electric SUVs aimed at the growing urban EV segment.
The VF 6 is a compact five-seater SUV designed for city use, with global trims offering either 174 hp or 201 hp and a range that crosses the 300 km mark, depending on the variant. The cabin is modern and minimal, with a focus on intuitive tech and connected features.
VinFast factory in Thoothukudi
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Special Arrangement
The VF 7, meanwhile, is a midsize SUV with more road presence and higher performance credentials. The top-spec variant comes with dual motors pushing out 348 hp and an all-wheel-drive layout. On the global WLTP cycle, it promises up to 450 km on a single charge. Both vehicles are expected to offer a strong feature set including advanced driver assistance systems and large-format touchscreens.
For the Indian market, official specs and prices are yet to be confirmed, though announcements are expected by the end of August or early September. The launch is timed to coincide with the festive season.
Setting up the infrastructure
VinFast is not just setting up shop to build cars — it is laying the groundwork for a full-fledged EV ecosystem in India. The company has tied up with several dealer groups across key cities and is working with RoadGrid, myTVS, and Global Assure to create a robust after-sales and service infrastructure. In parallel, it has joined hands with BatX Energies for battery recovery and reuse, pointing toward a larger sustainability roadmap in line with global circular economy goals.
VinFast factory in Thoothukudi
| Photo Credit:
Special Arrangement
Crucially, the company has made it clear that localisation is a priority. By working with domestic suppliers and investing in skill development, VinFast is aligning its goals with India’s push toward becoming a global EV manufacturing and export base.
The right moves
VinFast’s entry into India arrives at a time when the country is beginning to warm up to electric mobility in earnest. With competition intensifying in the sub-Rs 30 lakh EV segment, VinFast will need to strike the right balance between price, features, and ownership experience.
That said, the groundwork appears solid. A fully operational plant, an expanding dealer network, a clear export roadmap, and products already selling in international markets give VinFast more than just a foot in the door. They give the company a real shot at making a dent in one of the most dynamic automotive markets in the world.
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Published – August 05, 2025 11:48 am IST
