VinFast Enters India Just After Tesla: EV Race Heats Up

In a defining move for India’s rapidly evolving electric vehicle (EV) sector, Vietnamese automaker VinFast has opened its first India showroom in Surat, Gujarat. Spread across 3,000 square feet in the buzzing Piplod locality, the VinFast India showroom serves as a launchpad for the brand’s ambitious foray into the Indian market, just days after EV titan Tesla made its much-anticipated debut in Mumbai.

The state-of-the-art facility is not merely a display arena—it’s a full-fledged brand experience center, offering customers immersive product interactions, purchase assistance, and robust after-sales support. The showroom will feature VinFast’s upcoming premium electric SUVs, the VF 6 and VF 7, both of which are being introduced in right-hand drive versions exclusively for Indian roads—making India the first global market to receive this customization.

VinFast: Big Plans for India, Big Commitment to the Future

VinFast’s entry into India is more than a marketing maneuver—it’s a declaration of intent. The company has begun accepting pre-bookings for VF 6 and VF 7 SUVs starting July 15, 2025. Interested buyers can book either online at VinFastAuto.in or at the Surat showroom with a fully refundable booking amount of ₹21,000.

What makes this move more significant is the company’s concurrent investment in a local EV manufacturing plant in Thoothukudi, Tamil Nadu. With an initial investment of $500 million and a broader commitment of $2 billion, VinFast aims to transform India into a global production hub for EVs. The company has plans to launch 35 dealerships across 27 cities by the end of 2025, signaling a rapid and aggressive expansion strategy.

Leadership Speaks: VinFast’s Vision for India

Pham Sanh Chau, CEO of VinFast Asia, emphasized the company’s long-term view of India as a core market.

“The first VinFast showroom in Surat, Gujarat is a symbol of our deep commitment to India,” said Chau. “We are excited to bring the VinFast experience closer to Indian consumers. With this dealership in Gujarat, we aim to offer not just electric vehicles, but a complete ownership journey built on quality, trust, and service excellence.”

A Crowded Race, but a Growing Track

VinFast enters the Indian market at a time when electric vehicle sales are surging, growing from just 5,000 units in 2020 to over 113,000 units in 2024. Although EVs currently account for less than 3% of total passenger vehicle sales, the Indian government’s target of achieving 30% EV adoption by 2030 presents immense potential.

Despite being a loss-making startup, VinFast made global headlines in 2023 when it briefly became the world’s third-most valuable automaker—behind only Tesla and Toyota—after its shares skyrocketed nearly 700% on the Nasdaq. While the company initially targeted the U.S. as its key foreign market, slow traction and trade-related uncertainties have since redirected its focus toward emerging economies like India.

Tesla vs. VinFast: Clash of Titans or Complementary Forces?

Coinciding with VinFast’s India launch, Tesla has opened its first showroom in Mumbai, displaying its Model Y crossover imported from China. With a price tag of over $56,000 before import taxes, the car targets a premium audience. Tesla is also expected to open another showroom in New Delhi by the end of July.

However, unlike VinFast, Tesla has not yet committed to manufacturing locally, potentially limiting its market penetration due to hefty import duties. While Tesla tests the waters, VinFast is diving in, assembling vehicles locally and offering competitive pricing as a way to woo Indian buyers.

Though Pham Sanh Chau insists that VinFast does not see Tesla or BYD as direct competitors, the reality remains that India’s EV space is becoming increasingly competitive. Established Indian players, consumer price sensitivities, and regional preferences create a uniquely complex market landscape that will test every new entrant’s adaptability.

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