Quick Highlights:Tamil Nadu allocates 500 acres to VinFast in SIPCOT Industrial Park, Thoothukudi,VinFast commits USD 500 million to build new EV production lines.Expansion to include electric buses, e-scooters and charging infrastructure.Initiative to boost local jobs, skill development and EV ecosystem growth.VinFast Strengthens India Manufacturing Strategy with New 500-Acre Allocation and USD 500 Million Investment in Tamil NaduVinFast has taken a significant step in accelerating its electric mobility roadmap in India by signing a Memorandum of Understanding (MoU) with the Government of Tamil Nadu. The agreement marks a major expansion milestone, with the state allocating approximately 500 acres (around 200 hectares) of land within the SIPCOT Industrial Park in Thoothukudi. This allocation, located adjacent to VinFast’s existing facility, will support the company’s next phase of development and enable the diversification of its product line — from electric cars to electric buses, e-scooters and an enhanced charging infrastructure network.The MoU reinforces VinFast’s long-term commitment to the Indian market, recognized today as the world’s third-largest automotive industry. Tamil Nadu, already known as a prominent automotive and EV manufacturing hub, will continue to play a central role in the company’s expansion plans. The state government’s support includes assistance in acquiring necessary permits and establishing essential infrastructure connections such as electricity, water supply, internal roadways, drainage and waste management systems. These measures aim to ensure seamless project execution and prepare the site for accelerated industrial-scale EV production.The new development represents the second phase of VinFast’s broader USD 2 billion investment strategy for India. Under this phase, the company will inject USD 500 million into the Thoothukudi site to construct and operationalize specialized workshops and production lines dedicated to electric buses and e-scooters. These facilities will be responsible for manufacturing, assembly, testing and other associated operations that will strengthen the company’s domestic EV ecosystem. In line with state policies, the Government of Tamil Nadu will extend all applicable incentives, statutory exemptions and financial support measures to facilitate the USD 500 million investment.VinFast’s existing facility in Thoothukudi spans 400 acres (160 hectares) and is equipped with internationally standardized production lines. Currently capable of producing 50,000 electric vehicles annually, the plant is being scaled up to reach a capacity of 150,000 units per year. The newly allocated land will allow VinFast to significantly broaden its operational footprint and expand its product offerings, accelerating its capacity to cater to India’s growing demand for diversified electric mobility solutions.Mr. Pham Sanh Chau, Vingroup Asia CEO and VinFast Asia CEO, emphasized that the expansion aligns with the company’s vision of supporting India’s transition to clean mobility. He noted that the ability to produce electric buses and e-scooters locally will help the company address a wider range of customer needs while fostering new employment opportunities and advancing skill development in the region. According to him, Tamil Nadu will continue to serve as a strategic manufacturing hub within VinFast’s global expansion framework, helping India meet its aspirational green mobility goals in the years ahead.Representing the Government of Tamil Nadu, Dr. T.R.B. Rajaa, Minister of Industries, welcomed VinFast’s expanded commitment to the state. He highlighted that the production of electric buses and e-scooters will provide further momentum to both Tamil Nadu’s and India’s green transportation strategies. The minister reiterated the government’s readiness to collaborate closely with VinFast to ensure smooth implementation and to support the economic and community-level benefits the project is expected to generate, including job creation and the enrichment of the region’s industrial ecosystem.Since entering the Indian market, VinFast has consistently worked toward building a robust, end-to-end electric mobility ecosystem. Its strategy includes local manufacturing, a growing retail and distribution network, widespread charging infrastructure, comprehensive aftersales services and battery recycling capabilities. The Tamil Nadu plant remains a central pillar of this ecosystem, positioning the company to compete effectively in the rapidly expanding Indian EV landscape.VinFast’s distribution network in India is also expanding quickly, with 24 dealers currently operational across major cities and a target of reaching 35 by the end of the year. This growth supports the company’s customer-centric approach and ensures strong accessibility to its products and services.With a continued commitment to innovation, sustainability and affordability, VinFast aims to contribute meaningfully to India’s shift toward eco-friendly transportation. The latest MoU with Tamil Nadu signifies not only an infrastructure expansion but also the company’s deepening role in driving a greener and more inclusive automotive future for the country.