VinFast Accelerates India Push: Expands Thoothukudi Plant by 200 Hectares for EV Buses and Scooters

Deal Overview

VinFast, Vietnam's leading EV manufacturer, has inked an agreement with the Tamil Nadu government to significantly scale its Thoothukudi facility. The expansion adds 200 hectares to the existing 160-hectare site, introducing dedicated production lines for electric buses and two-wheelers (e-scooters). Backed by a $500 million investment, this move aligns with India's booming EV market and VinFast's strategy to localize manufacturing for exports to South Asia, Africa, and the Middle East.​

The Thoothukudi plant, operational since August 2025 with an initial 50,000-unit annual capacity for premium SUVs like VF6 and VF7, now targets diversified EV segments. Tamil Nadu's robust infrastructure, skilled workforce, and port access make it ideal for this growth, fostering a new all-electric auto cluster in southern India.​

Key Highlights

Expansion Scope: Adds 200 hectares to Thoothukudi facility for EV bus and e-scooter lines; total investment $500 million.​

Current Status: Existing 160-hectare plant produces 50,000+ EVs yearly, ramping to 150,000 units.​

Strategic Focus: Export-oriented hub targeting South Asia, Middle East, Africa; supports VinFast's Asia pivot.​

Economic Impact: Expected to create 3,000-3,500 direct jobs, plus multiplier effects in supply chain.​

Tamil Nadu Edge: Port proximity, incentives, and workforce training via "Naan Mudhalvan" program.​

Sources: Autocar Professional (Dec 3, 2025); Economic Times; Moneycontrol.​