The VF7 (in picture) and VF6 models will be manufactured at VinFast’s plant in Thoothukudi, Tamil Nadu.
| Photo Credit: Special arrangement

VinFast, the first automaker from Vietnam to expand into the global market, is set to make inroads into the Indian EV space with production at its plant in Tamil Nadu’s Thoothukudi district set to begin in July.

The Vietnamese car brand, which currently sells its products in 16 countries across North America, Europe and Asia, will manufacture the VF7 and VF6 models in Thoothukudi, for which bookings will open in June. Company sources said the production capacity will be 50,000 vehicles per year initially, with the potential to reach 1,50,000 to meet future demand.

“India is a promising and growing market. EV adoption is comparatively low; so, we decided to take this opportunity to enter the market,” VinFast Asia CEO Pham Sanh Chau said.

Mr. Chau said VinFast wanted to position itself as a manufacturer of premium EVs with competitive pricing and excellent after-sales service.

When asked about its USP, Mr. Chau said, “We don’t want to just sell cars. We want to bring in the whole EV ecosystem.”

He said VinFast would build a network of dealers/showrooms, authorised repair shops and charging points; promote green mobility; and facilitate buy-back or swapping of old cars with newer models.

Stressing the importance of localisation, he said it helped companies bring down cost, secure government incentives, and be more competitive.

VinFast was committed to localisation, he said, adding that it was already sourcing some products from Indian suppliers.

Dismissing the notion that EVs were too expensive for the common man, he said it may be the case with some brands, but not all.

Mr. Chau said the switch from internal combustion engine (ICE) cars to EVs was irreversible. “I believe that one day, we all will be using EVs, and all gas stations will be turned into charging points. The future of EVs is bright,” he said.

The assembly line at VinFast’s manufacturing plant in Hai Phong, Vietnam.
| Photo Credit:
Anirudh Parthasarathy

Mr. Chau, who previously served as Ambassador of Vietnam to India, was optimistic about the development of ties between the two countries. “It [bilateral trade] has reached $15 billion. I hope it will grow to $20 billion,” he said.

“Our activities and investments in India will deepen the economic ties between the two countries. We are bringing the largest investment from Vietnam into India now,” he added.

Quoting former Vietnamese Prime Minister Pham Van Dong, who said the relationship between India and Vietnam was “as clear as the blue sky without any clouds”, Mr. Chau said cooperation between the two countries will continue irrespective of geopolitical challenges.

(The writer was in Hanoi on the invitation of VinFast.)