Vietnamese electric vehicle manufacturer VinFast is in talks with multiple component suppliers to increase sourcing from India, its Asia chief said on Monday, as the company opened its first plant in the country.
Pham Sanh Chau, VinFast’s Asia CEO, told Reuters the discussions include several existing partners, with some considering relocating part of their production to the company’s industrial park in India. “We also have an inquiry from (a manufacturer in) Vietnam who would love to shift their plastic production to support our car,” Chau said.
The move comes as automakers look to diversify production beyond China in response to geopolitical tensions, trade barriers and rising manufacturing costs. VinFast plans to showcase its cars in Indian showrooms later this month, although pricing and a launch date have not been disclosed.
VinFast signed an agreement with Tamil Nadu last year for an investment of up to $2 billion, including $500 million in the first five years. The Thoothukudi facility will have an annual production capacity of up to 150,000 vehicles and has already secured orders from Sri Lanka, Nepal and Mauritius.
While the plant is expected to play a significant role in exports over time, Chau said the company’s initial focus will be on meeting demand in India. VinFast delivered about 72,100 units globally in the first half of 2025 and aims for 200,000 deliveries by year-end.