plans to invest $200 Million to setup a Manufacturing Facility in India
Vietnam’s pioneering electric car manufacturer, VinFast Auto, has unveiled ambitious plans to invest a substantial $200 million in setting up assembly units in both India and Indonesia.
VinFast’s decision to establish facilities in these markets is to gain access to a range of incentives provided by the respective governments for local manufacturing.
Accessing Local Advantages
Each Completely Knocked Down (CKD) facility in India and Indonesia is poised to achieve a substantial production capacity of up to 50,000 cars annually, with an estimated capital expenditure of $150-200 million in Phase 1.
VinFast is actively streamlining its global manufacturing plans for the years 2024 and 2025, with an expected cost reduction of approximately $400 million compared to earlier projections.
Optimizing Capital Expenditure
VinFast is actively seeking resources for sales, legal, and back-office operations in India, with its office situated in Gurugram, Haryana. The company may initially introduce VF8 and VF9 models in India.