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Vietnam’s EV Maker1 VinFast Plans Factory in India
Vietnamese electric vehicle company VinFast recently announced its plans to build a $2 billion production center in southern India.
The new factory is expected to produce up to 150,000 cars per year once it is completed.
The project will include an opening investment2 of $500 million. Construction will start this year. The production centers are expected to support over 3,000 jobs in the Tamil Nadu state.
The center will be close to the port city of Thootukudi.
VinFast started in 2017 and has been producing electric vehicles since 2021. It already announced plans for a factory in the southern U.S. state of North Carolina. The factory there will cost $4 billion to complete and vehicle production is expected to begin this year.
VinFast brought its cars to market in the U.S. for the first time in 2023. The cars have not sold well in the U.S. because they have received some bad reviews and there are questions about their quality. VinFast officials, however, believe the company can succeed in the U.S.
The company's stock3 is listed on the Nasdaq stock exchange, and, for a short time, its shares were worth more than Ford4 and General Motors. However, by the end of 2023, the company had lost more than $1.4 billion.
VinFast said it hopes to sell its cars in 50 markets by the end of 2024. It announced a $400 million factory in Indonesia late last year. VinFast cars will be used in Laos by Green SM, a taxi company mostly owned by VinFast's founder5.
The production center is the first move by VinFast to enter the growing Indian market. The country has one of the fastest-growing electric vehicle markets in the world. India has launched6 a $1.3 billion plan to support electric vehicle manufacturing7 and use.
However, of the 2.3 million EVs in use in India, most are inexpensive motorbikes, rickshaws and scooters. Some experts wonder if there are enough Indians who have the money to purchase a costly8 electric car.
VinFast is part of Vingroup, which was started as an instant noodle company in Ukraine in the 1990s by Pham Nhat Vuong, who is now Vietnam's richest man.
Words in This Story
construction –n. the process of building one or more structures
review –n. a piece of writing that gives the writer's opinion about a product or service
taxi –n. a car that takes passengers to places and usually charges by the distance traveled
inexpensive –adj. not costly; cheap
rickshaw –n. a small, light vehicle that is usually powered by a person or a very small engine
scooter –n. a small, wheeled vehicle for one person
1 maker | |
n.制造者,制造商 | |
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2 investment | |
n.投资,投资额;(时间、精力等的)投入 | |
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3 stock | |
n.存货,储备;树干;血统;股份;家畜;adj.存货的;平凡的,惯用的;股票的;畜牧的;vt.进货,采购;储存;供给;vi.出新芽;进货 | |
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4 Ford | |
n.浅滩,水浅可涉处;v.涉水,涉过 | |
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5 Founder | |
n.创始者,缔造者 | |
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6 launched | |
v.发射( launch的过去式和过去分词 );[计算机]开始(应用程序);发动;开展(活动、计划等) | |
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7 manufacturing | |
n.制造业,工业adj.制造业的,制造的v.(大规模)制造( manufacture的现在分词 );捏造;加工;粗制滥造(文学作品) | |
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8 costly | |
adj.昂贵的,价值高的,豪华的 | |
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