Vietnamese electric vehicle manufacturing company Vinfast is planning to enter India’s EV market. For this, the company has reviewed two locations in Tamil Nadu, where it wants to buy land to set up a manufacturing facility.
Economics Times has given information about this in one of its reports. Vinfast is keen to set up a manufacturing facility in Tamil Nadu as well as Gujarat. The company needs a port in Gujarat.
What is the company’s plan?
Amidst the ever-increasing demand for electric cars in India, foreign EV manufacturing companies like Tesla and VinFast Auto want to start their business.
According to a report in Economic Times, Vinfast is keen on Tamil Nadu and Gujarat as it needs a port. For this the company is preparing to invest about 200 million dollars.
Company will invest around Rs 1668 crore
According to the report, its aims to start assembling vehicles in India by 2026. For this the company will invest 200 million dollars (about Rs 1668 crore).
The company will meet the demand for EV in India and Indonesia
Le Thi Thu The, Managing Director and Global CEO of Vinfast, said on October 5, “We hope to participate in the growth in EV demand in Indonesia and India, where electric vehicle penetration is still very low.”
Company planning to develop dealership network
VinFast, established in 2017, recently said that in the next phase of development starting from 2024, we are planning to develop a dealership network, which includes India and other countries.
It was the third most valuable company in the world in August.
It temporarily became the world’s third most valuable company after listing on Nasdaq in August. According to the report, VinFast wants to compete with Elon Musk’s EV company Tesla.
What is VinFast Auto?
VinFast Auto was founded in 2017 and is the EV arm of VinGroup, the largest private corporation from Vietnam. It is set to expand its presence with dealership networks in new market groups including India starting in 2024.
Despite being smaller in scale than Tesla, it is aggressively pursuing the electric vehicle market and aims to challenge Tesla’s dominant position in the United States, where Tesla has more than 50% of the market.