Vietnamese electric vehicle (EV) maker VinFast is significantly expanding its footprint in Asia with plans to establish new manufacturing plants in India and Indonesia by the end of this year. The move marks a major pivot from its earlier focus on Western markets and comes amid efforts to tap into the growing EV demand in the region.
In India, VinFast has chosen Thoothukudi in Tamil Nadu for its assembly facility, with an initial investment of $500 million and long-term commitments reaching up to $2 billion. The plant is designed to produce up to 150,000 vehicles annually and is expected to begin operations by June 30, 2025. The company envisions this facility as a key export hub, supporting global markets with right-hand drive models.
Meanwhile, in Indonesia, the EV maker has broken ground in Subang, West Java. The Indonesian facility will have a planned annual output of 50,000 vehicles and is scheduled to commence production by October 2025. The factory will focus on compact electric SUVs such as the VF 3, VF 5, VF 6, and VF 7—models tailored for Southeast Asian consumers.
VinFast’s strategic redirection comes as the company faces headwinds in the U.S. market, including high logistics costs and evolving trade policies. The firm has postponed the launch of its $4 billion plant in North Carolina to 2028.
With sales surging to nearly 97,000 units in 2024—predominantly in Vietnam—VinFast is now betting on Asia’s emerging markets to drive future growth, aiming for 200,000 domestic vehicle deliveries by 2025.
