Current:Home > FinanceVietnam’s VinFast to build a $2 billion EV plant in India as part of its global expansion-LoTradeCoin
Vietnam’s VinFast to build a $2 billion EV plant in India as part of its global expansion
View Date:2024-12-23 23:04:46
HANOI, Vietnam (AP) — Vietnamese automaker VinFast says it plans to spend up to $2 billion to build an electric vehicle factory in India, the world’s third-largest auto market by sales.
The factory in southern India’s Tamil Nadu state will be the company’s first foray into India and follows VinFast’s launch of sales in the United States and other major markets.
The plan highlights the company’s commitment to a “vision of a zero-emission transportation future,” Tran Mai Hoa, the company’s deputy CEO of sales and marketing, said in a statement.
VinFast said it is committing $500 million in the first phase of construction and plans to transform the region around port city of Thootukudi into a “first-class electric vehicle production hub.” The factory will have a capacity to roll out 150,000 cars annually, it said. It gave few other details.
VinFast is part of Vingroup, a sprawling conglomerate that began as an instant noodle company in Ukraine in the 1990s that was founded and is run by Vietnam’s richest man, Pham Nhat Vuong.
This will be VinFast’s first foray into India and is part of a global expansion that has included exports of EVs to the United States. It is building a $4 billion EV factory in North Carolina, where production is slated to begin this year.
The company aims to be selling in 50 markets worldwide by the end of this year. In October, it said it plans to build a $400 million electric vehicle factory in Indonesia. It has started shipping EVs made in Vietnam to neighboring Laos to serve as a fleet for Green SM, an EV taxi operator that is mostly owned by VinFast’s founder.
Last year, Vinfast listed its shares on Nasdaq, seeing them balloon in value with its market value shooting briefly above those of General Motors Corp. and Ford Motor Co. in late August. But investor enthusiasm has cooled down and the company lost more than $1.4 billion in the first three quarters of 2023.
While it has struggled to sell its EVs in the U.S. and its early cars have received bad reviews, the company maintains that if it can succeed in the crowded and competitive American market, it can succeed anywhere.
___
Associated Press climate and environmental coverage receives support from several private foundations. See more about AP’s climate initiative here. The AP is solely responsible for all content.
veryGood! (43)
Related
- Manhattan rooftop fire sends plumes of dark smoke into skyline
- Olivia Munn Reflects on Her 20-Month Postpartum Journey After Wearing Pre-Baby Shorts
- Lawyer for Bryan Kohberger says he was driving alone night of murders
- Most populous Arizona counties closely watch heat-associated deaths after hottest month
- Residents urged to shelter in place after apparent explosion at Louisville business
- On 3rd anniversary, Beirut port blast probe blocked by intrigue and even the death toll is disputed
- SUV crash kills a man and his grandson while they work in yard in Maine
- Taylor Swift Gifts Vanessa and Kobe Bryant's Daughter Bianka Her 22 Hat at Eras Tour
- Zendaya Shares When She Feels Extra Safe With Boyfriend Tom Holland
- Underwhelming U.S. team slumps into Women’s World Cup knockout game against familiar foe
Ranking
- The boy was found in a ditch in Wisconsin in 1959. He was identified 65 years later.
- Actor Mark Margolis, drug kingpin on 'Breaking Bad' and 'Better Call Saul,' dies
- Florida man arrested in manslaughter after hole-in-one photo ID
- Woman's husband arrested in Florida after police link evidence to body parts in suitcases
- 2024 'virtually certain' to be warmest year on record, scientists say
- Father drowns while saving his 3 children in New Jersey river
- Hyundai, Kia recall 91,000 vehicles for fire risk: ‘Park outside and away from structures’
- James Barnes, Florida man who dropped appeals, executed for 1988 hammer killing of nurse
Recommendation
-
Joel Embiid injury, suspension update: When is 76ers star's NBA season debut?
-
Ex-police union boss gets 2 years in prison for $600,000 theft
-
Ex-police union boss gets 2 years in prison for $600,000 theft
-
Usher talks new single 'Good Good,' Vegas residency: 'My 7 o'clock on the dot has changed'
-
Steelers shoot for the moon ball, but will offense hold up or wilt in brutal final stretch?
-
Stores are locking up products to curb shoplifters. How that's affecting paying customers.
-
Taylor Swift adds North American cities to next year's Eras tour dates
-
US Rep. Manning, of North Carolina, is injured in car accident and released from hospital