Vietnamese electric vehicle manufacturer, VinFast has announced plans to open car assembly centres in India and Indonesia this year, marking a strategic pivot towards Asia.
According to Pham Nhat Vuong, Chairman of VinFast’s parent company Vingroup, the India plant is slated to open by the end of June, while operations in Indonesia are expected to begin in October.
In India, VinFast has already laid the groundwork for a major investment. Last year, the company signed a memorandum of understanding with the southern state of Tamil Nadu to explore an investment of up to USD two billion, including an initial commitment of USD 500 million over the first five years. The facility is projected to have an annual production capacity of 1,50,000 vehicles. VinFast had also previously initiated construction of its Indonesian plant in July 2024.
The expansion highlights VinFast’s recalibrated focus on rapidly growing Asian markets, where demand for electric vehicles is rising and operational costs are relatively lower. This strategic realignment positions the company to scale production more effectively while navigating geopolitical and economic challenges in Western markets.
