Latest news with #Vinfast
Time of India
2 days ago
- Automotive
- Time of India
VinFast's $2 bn Tamil Nadu EV plant misses out on lucrative incentive scheme, must invest Rs 4,150 cr more to qualify
The USD 2 billion (Rs 16,000 crore) investment by Vietnam-based electric vehicle manufacturer VinFast in Tamil Nadu will not qualify for availing benefits under the Scheme to Promote Manufacturing of Electric Passenger Cars in India, officials said on Monday. Officials explained that under the scheme, eligible investment must be capitalized in the books of account of the applicant "after the date of approval", therefore, equipment and machinery "must be put to use after becoming an approved applicant". The window for applying under the scheme will be opened in a couple of weeks for 120 days or more. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Discover How To Craft High-Quality Writing Faster (Learn How) Grammarly Undo VinFast, the electric vehicle (EV) unit of Vingroup , is setting up a USD 2-billion plant in Tamil Nadu's Thoothukudi, and is also in discussions with Andhra Pradesh and Telangana governments to expand its operations in India. Also read: Asian underdog & global biggies hit accelerator when Musk dodges desi market challenge Live Events The company is eyeing a launch in India with its VF7 and VF6 models before the festival season this year and aims to push up annual production in the country to 1,50,000 EVs in the coming years to be able to export them to countries in the Middle East and Africa. "They (Vinfast) have already capitalised the investment so they will not qualify based on that investment for benefits under the scheme. They (Vinfast) will have to make a fresh investment of Rs 4,150 crore to qualify under the scheme. They are urging us to consider the investment already made, which we cannot accept," an official told PTI. The guidelines under the scheme to Promote Manufacturing of Electric Passenger Cars in India were announced on Monday, whereby approved applicants will be allowed to import Completely Built-in Units (CBUs) of e-4W with a minimum CIF value of USD 35,000 at reduced customs duty of 15 per cent for a period of 5 years from the Application Approval Date . Also read: Tesla not interested in manufacturing in India, minister says The approved applicants would be required to make a minimum investment of Rs 4,150 crore in line with the provisions of the scheme. The Scheme to Promote Manufacturing of Electric Passenger Cars in India was notified on March 15, 2024.
Time of India
3 days ago
- Automotive
- Time of India
VinFast reveals India operations plan: VF7 debut, production capacity, bookings & more
Vietnamese electric vehicle manufacturer VinFast is all set to begin its India journey with the launch of its VF7 electric SUV , followed by the VF6. Bookings for both models are slated to commence later this month. Tired of too many ads? go ad free now The company had earlier showcased its products at the Bharat Mobility Global Expo and has now confirmed its initial product lineup, manufacturing plans, and retail strategy for India. VinFast's debut in India: Initial roadmap VinFast's Indian operations will be supported by a new manufacturing facility in Tamil Nadu. To set up this plant, the company has invested USD 500 million in the first phase. As for the production capacity, the plant will initially be capable of rolling out 50,000 vehicles per year, with future plans to scale up to 1,50,000 units. The vehicles will be assembled locally as CKD units. In addition to launching its EVs, VinFast is also laying the groundwork for establishing its presence in the country. The carmaker plans to establish a strong dealership and service network across the country. Vinfast at Bharat Mobility Global Expo 2025: Cars, plans, tech explained | TOI Auto VinFast VF7 to debut first in India The company has confirmed that the VF7 will be the first model to go on sale. The model was also showcased at the Bharat Mobility Expo in early 2025. Speaking of the model itself, globally, the VF7 is offered in two variants: Eco and Plus. The Eco variant gets a front-wheel drive setup with a single motor producing 201 bhp and 310 Nm of torque, while the Plus variant gets a dual-motor all-wheel drive layout generating 349 bhp and 500 Nm of torque. Both versions are powered by a 75.3 kWh battery pack. As for the features, the VF7 gets a D-cut steering wheel, a button-style central console, and a dual-tone theme in brown and black. The Eco trim is equipped with a 12.9-inch infotainment touchscreen, while the Plus comes with a larger 15-inch display. Tired of too many ads? go ad free now Both variants include ADAS suite, a panoramic sunroof, a head-up display, and over-the-air update support, among other features. The claimed range for the Eco is 450 km on a single charge, whereas the Plus variant delivers 431 km. Final specifications for the India-spec model will be revealed at launch, along with pricing and warranty details. Besides that, it also remains to be seen whether VinFast will bring its global battery subscription model to India. We can expect more at the time of the official launch.
Mint
07-05-2025
- Automotive
- Mint
Foreign car firms eye trade deals for EV tariff reduction
In March 2024, foreign carmakers took note when India proposed low-duty imports for a few thousand electric cars, if they promised to invest a specific amount here. But with the Centre yet to finalize the scheme's guidelines, manufacturers have shifted their sights to expected duty reductions in free trade agreements (FTAs) under discussion, three industry executives said. The Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI), dubbed the 'Tesla Policy', was seen as part of New Delhi's attempt to attract the US carmaker after its CEO Elon Musk publicly criticized the country's high import duties on automobiles. Under the scheme, approved car makers were to be allowed to import up to 8,000 electric vehicles (EVs) a year at 15% duty against the usual 70-110% tariff on the import of fully made cars, which are called completely built units (CBUs). The concession was contingent upon minimum investments worth ₹ 4,150 crore. Tesla, the Volkswagen Group, Hyundai Motor India Ltd, Toyota Kirloskar and Vietnam's Vinfast were among entities who were previously reported to be interested in the scheme. 'There hasn't been much movement on the manufacturing scheme by the government," one of the executives cited above, who works with a foreign carmaker interested in the EV scheme, said on condition of anonymity. 'The talks of India with the US on auto imports give us hope that there is going to be a broader reduction of tariffs on CBUs." Also read | Uber's lifeline off the table for BluSmart as EV depreciation becomes key contention In a statement to Mint on 6 May, Hyundai India said the government is discussing a programme with the industry to roll out a programme for widespread EV manufacturing and adoption. 'HMIL has been making in India for the past nearly three decades and welcomes any step to promote local manufacturing that offers innovative and safe mobility solutions to people and job creation," a spokesperson said. 'We await the rollout of the final policy and guidelines." Emailed queries to Volkswagen Group, Tesla, Toyota, Vinfast and the heavy industries ministry remained unanswered. Tesla has been vocal about its concerns on the tariffs on EVs. 'The same car which we're sending is 100% more expensive than what it is. So, that creates a lot of anxiety. People feel OK, they're paying too much for the car ...That's why we've been very careful trying to figure out when is the right time (to enter India)," Tesla's chief financial officer Vaibhav Taneja said during an earnings call in April. While Tesla's entry is still anticipated, the company has not pledged any investment in making a plant in the country. Last month, Musk spoke with Prime Minister Narendra Modi over 'potential collaboration in the areas of technology and innovation". Read this | Mahindra looks to use its EV playbook to strengthen foray into electric bus space via SML Isuzu acquisition 'India has to relax its tariff norms to allow more foreign cars to come in as the electric car market has not grown at a pace which was anticipated," the executive quoted above said. In 2024, India's electric car market grew by 20% to reach nearly 100,000 units as per Vahan portal data. However, these cars still account for just 2.5% of the overall numbers. Thanks to US President Donald Trump, talks for trade agreements seem to have accelerated. Earlier, Mint had reported that the government is also open to tweaking the EV policy based on the outcomes of bilateral trade agreement and free trade agreement talks. Currently, India is in talks with the US, the European Union and other countries for possible trade agreements. On Tuesday, India concluded a long-awaited trade agreement with the UK, which mentions that India has agreed to reduce automotive tariffs 'from over 100% to 10% under a quota". Experts, though, are sceptical about the trade agreement route being a viable option for EV makers. 'For foreign carmakers, it is important to look at setting up manufacturing facilities in India if there is ambition to scale in the country," said Abhishek Saxena, earlier a public expert at Niti Aayog. 'While there are hopes of tariff reductions due to trade agreements, these are complex conversations." Also read | EVs hit with falling resale value as consumer demand cools 'Pinning hopes on a uniform tariff reduction might not be the best option. Given the strict deadlines for value addition and approvals, the foreign carmakers may have apprehensions about the EV manufacturing scheme," he said. Meanwhile, India's biggest car maker Maruti Suzuki Ltd has been sceptical about the growth of EVs unless the concerns over charging infrastructure and resale value are resolved. Due to the limited scope of growth in the domestic market, Maruti has been looking at international markets closely. A majority of the electric cars produced by the car maker this year will be exported due to the limited scope of growth in the Indian market. 'Until the number of people who can buy cars increases substantially, there will not be much growth in any kind of cars," R.C. Bhargava, chairman of Maruti Suzuki India Ltd, warned in an earnings call. And read | India open to revising EV manufacturing policy for foreign automakers post US tariff clarity
Time of India
25-04-2025
- Automotive
- Time of India
Vinfast triples sales but loses more than $3 bn in 2024
Vietnamese electric vehicle maker Vinfast said Thursday it had almost tripled deliveries of its cars in 2024 compared to a year earlier, but posted a loss of more than $3 billion for the year. The communist nation's first homegrown car manufacturer is aiming to compete with global EV giants such as Tesla but has struggled to break into the international market. "For the full year 2024, EV deliveries were 97,399, representing an increase of approximately 192% from 2023, underscoring strong growth momentum and positive market reception," Vinfast said in a statement, adding its net loss was $3.179 billion. Vinfast shares have fluctuated wildly since debuting on the Nasdaq in August 2023, at one point soaring to a market value bigger than US auto giants Ford and General Motors before lurching downward. With more than 100 showrooms globally, Vinfast is trying to crack markets in Asia, the Middle East, Europe, the United States and Canada. Last month, Indonesia said the firm plans to build 100,000 electric vehicle charging stations across the country. Vinfast said Thursday its fourth shipment of EVs, consisting of nearly 2,500 vehicles, was sent to Indonesia in early March. It has 22 dealerships in the country, it added. Thuy Le, chair of Vinfast, said the annual results reflected the company's "ability to navigate a dynamic and often challenging market environment". "These results highlight our continued growth and the broader momentum behind the transition to electric vehicles," she said. Vinfast has received strong backing from CEO Pham Nhat Vuong, Vietnam's richest person, as well as parent company Vingroup. The company said Thursday he had so far given more than $410 million in non-refundable grants as part of his 2024 pledge to provide up to $2.1 billion to the firm and its subsidiaries. In March, Doha-based JTA Investment Qatar signed a memorandum of understanding to explore a potential $1 billion investment in Vinfast, according to Vingroup. The partnership is aimed at supporting Vinfast's "global expansion and technological development", Vingroup said.
Reuters
24-04-2025
- Automotive
- Reuters
Vinfast reports 70% surge in fourth-quarter revenue on higher deliveries
April 24 (Reuters) - Vietnamese electric-vehicle maker Vinfast (VFS.O), opens new tab reported a 70% jump in fourth-quarter revenue on Thursday, helped by higher deliveries of its electric vehicles. The company said its total revenue was 16.49 trillion Vietnamese Dong ($633.82 million) in the quarter ended December 31, 2024, up 69.8% from a year earlier. ($1 = 26,017.0000 dong)
