Pham Sanh Chau, the India Chief Executive Officer of VinFast Auto, conveyed enthusiasm for India’s newly revealed electric vehicle (EV) policy, highlighting its capacity to invigorate the debut of top-tier SUVs in the Indian automotive sector.
“This forward-looking policy helps us introduce a wide variety of smart, green, premium-quality SUVs, at inclusive prices, along with outstanding aftersales policies,” Chau said in a statement today. With a long-term growth commitment in India, we have pledged an expenditure of $500 million, which includes the electric vehicle manufacturing facility in Tamil Nadu,” Chau noted.
The policy involves a significant decrease in import tariffs on specific electric vehicles to 15% over a period of five years, contingent upon automakers pledging a minimum investment of Rs 4,150 crore (US$500 million) to establish manufacturing operations in India within three years. VinFast has commenced the construction of its inaugural integrated EV manufacturing plant in Thoothukudi, Tamil Nadu, with intentions for substantial investment in subsequent phases.
Recognizing India as a crucial market for its global expansion efforts, VinFast acknowledges the nation’s position as the world’s third-largest passenger vehicle market. The automaker’s extensive presence across various international regions, including North America, Europe, and its native market Vietnam, underscores its dedication to delivering innovative electric car models.
India’s revised import duty framework for electric vehicles is poised to streamline the entry of prominent global car manufacturers such as Tesla while offering investment incentives to entities like VinFast, Jaguar Land Rover, and Foxconn.
“We highly value the Indian Government’s new EV scheme as it aims to drive large investments in manufacturing, create competencies and upskilling, set up a robust supply chain, and offer consumers world-class, zero tailpipe emission vehicles,” Chau said.
