Vietnam's Vinfast Plans 'Make In India' Debut With $500M Investment: Report

Vietnamese automaker VinFast is gearing up to make a splash in the Indian market with its locally assembled vehicles.

What Happened: VinFast is preparing its entry into the Indian automotive market, according to a report by The Economic Times. The company plans to assemble its vehicles in India, in line with the country’s “Make in India” initiative.

The company is reportedly planning to open a new factory in Tamil Nadu, expected to be operational by March 2025.

Vinfast is planning to invest over $500 million (around ₹4,175 crore) over the next five years to construct a 150,000-unit-a-year factory at Thoothukudi, near Chennai.

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The company is looking to open its first locally assembled car by festive season of 2025. The electric vehicles are likely to be in the price range of ₹25 lakh to ₹30 lakh and models that could run in a range of 300-500 kilometres.

The proposed plan will help the company to save money on import bills. There is an import duty of 100% for imported car models having cost and insurance freight (CIF) value of more than $40,000 (around ₹33.40 lakh). Vinfast is looking to sell cars via the completely knocked down (CKD) route, which only levies a 15% duty.

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