VinFast adjusts India EV strategy amid cost evaluations

Vietnamese electric vehicle manufacturer VinFast is adjusting its strategic approach in India. The company has reportedly paused certain development and production plans for the VF3, VF6, and VF7 models. This pause follows internal assessments regarding the costs of localizing component sourcing and development, which have not yet met the company's desired levels.

Despite these adjustments, VinFast continues to expand its intellectual property footprint in the region. The VF9, a large electric SUV available in six and seven-seater configurations, has been patented in India. The VF9 features an all-wheel drive system, dual electric motors producing 402bhp, and a claimed WLTP range of up to 594km for the Eco trim.

VinFast previously announced plans to invest approximately $2 billion to establish India as a manufacturing hub for South Asia, the Middle East, and Africa. The company is currently re-evaluating its cost structures to balance its global expansion ambitions with the price-sensitive nature of the Indian automotive market.