We are looking to continue to receive support in investment policies: VinFast India CEO

Vietnam’s electric vehicles (EVs) manufacturer VinFast has said that the company wants to continue to receive support in investment policies from the Indian government and also to create a favorable business environment to jointly strengthen green transportation in India. The company which had announced a $2 billion investment in Thoothukudi in Tamil Nadu also said that to capitalize on the long-term incentives for EVs, it will accelerate the construction of a manufacturing facility.

line of business On Monday it was reported that the company was in some confusion regarding the company’s new EV policy, and it may slow down its investment in India.

• Read also: VinFast’s investment in TN hit the brakes amid confusion over the new EV policy

“We are encouraged by the government’s commitment to EV development in India. To benefit from long-term incentives for electric vehicles, we will focus on accelerating the construction of the manufacturing facility,” said Pham Sanh Chau, Chief Executive Officer, VinFast India. Without giving further details on the benefits from the new EV policy or any update on actual investment, he said, “Looking forward, we are looking to continue receiving support in investment policies, as well as promoting a favorable environment for business activities together. green transport in India.”

Lack of transparency

According to sources, Chau who attended a meeting with senior officials of the Ministry of Large Industries last week, got confused after receiving information from the MHI Secretary that any benefit/subsidy that the company wants to get, will be used as soon as the policy is completed. place, and not from the date the OEM starts investing.

The meeting at MHI was led by the Secretary, Kamran Rizvi and Additional Secretary, Hanif Qureshi along with stakeholders from the automotive sector including VinFast, Hyundai Motor India, Maruti Suzuki India, Mahindra & Mahindra, Tata Motors and Toyota Kirloskar Motor.

VinFast and the Tamil Nadu government had signed a Memorandum of Understanding (MoU) on January 6, in which both parties agreed to invest $2 billion. The initial commitment for the first phase of the project, spanning five years from the start date, is set at $ 500 million. The center is expected to create 3,000-3,500 jobs locally.