Tamil Nadu CM M.K. Stalin Inaugurates VinFast Electric Car Manufacturing Facility at SIPCOT Industrial Park, Thoothukudi

Thoothukudi, Aug 2025:Hon’ble Chief Minister of Tamil Nadu, Mr. M.K. Stalin, today (04.08.2025) inaugurated the VinFast Electric Car Manufacturing Facility at SIPCOT Industrial Park, Thoothukudi, by commencing the production operations.

Several dignitaries graced the inaugural event, including Hon’ble Ministers Mrs. Geetha Jeevan, Ms. Anitha Radhakrishnan, and Mr. T.R.B. Rajaa. The event was also attended by Ministers Mr. K.S.S.R. Ramachandran, Mr. T.M. Anbarasan, and Mr. Muthusamy Thangavel, along with Members of Parliament Mrs. Kanimozhi Karunanidhi, MLAs Mr. Markandeyan, Mr. Amirtharaj, and Mr. Shenmugavel, senior government officials, VinFast executives, and members of the press and media.

Expressing his happiness, CM Stalin remarked that VinFast, a leading Vietnamese conglomerate, has chosen Tamil Nadu for its investment, reinforcing the state’s reputation as a global investment destination. He recalled laying the foundation stone for this project 18 months ago, and today, the manufacturing facility has commenced operations ahead of schedule, marking a significant milestone for Tamil Nadu and Vietnam.

He further mentioned that Tamil Nadu’s Industries Minister, Mr. T.R.B. Rajaa, played a crucial role in bringing VinFast to Tamil Nadu. CM Stalin praised VinFast for establishing its first electric car manufacturing unit outside Vietnam in Thoothukudi, reiterating the company’s trust in Tamil Nadu’s business-friendly environment.

Highlighting Tamil Nadu’s leadership in the automotive sector, the Chief Minister stated that 40% of India’s electric vehicle production is from Tamil Nadu, making the state the capital of automobile and EV manufacturing in the country. Just as the first car manufacturing plant began in Sriperumbudur, Tamil Nadu now proudly witnesses the launch of its first electric car production line in Thoothukudi.

This venture will not only boost Tamil Nadu’s trade and bilateral relations with Vietnam but will also create significant employment opportunities. CM Stalin emphasized that under the “Dravidian Model” of development, Tamil Nadu is witnessing holistic and inclusive growth. He mentioned that the Global Investors Meet 2024 secured investment commitments worth ₹16,000 crores, including 3,500 direct employment opportunities, of which the VinFast project is a major contributor.

The Chief Minister informed that an initial investment of ₹3,000 crores has been made in the project, with a production capacity of 50,000 electric SUV cars per year. This is VinFast’s first EV manufacturing facility outside Vietnam and Southeast Asia. Approximately 80-90% of the workforce for this facility will be recruited from Thoothukudi and its neighboring districts, ensuring localized employment.

Under the “Naan Mudhalvan” skill development scheme, over 200 diploma students from Thoothukudi have been trained and employed at the VinFast plant. This project stands as a testament to Tamil Nadu’s “Ease of Doing Business” and its commitment to attracting global investments.

CM Stalin further announced that this facility will lead to the establishment of ancillary units for component manufacturing, benefitting the local economy of Thoothukudi and surrounding regions. Thoothukudi is now poised to emerge as a major automobile manufacturing hub alongside Chennai, Kanchipuram, Coimbatore, and Hosur.

He also highlighted that Tamil Nadu is home to several leading EV manufacturers like Hyundai, Nissan, Tata Motors, BMW, BYD, Ola Electric, Ather, TVS, and Ampere, all of whom have begun their EV production operations. The CM assured that more traditional car manufacturers are set to enter the EV segment, further strengthening Tamil Nadu’s leadership in this sector.

Reaffirming his government’s commitment, CM Stalin urged VinFast to expand its investments not only in the automobile sector but also in areas like education, healthcare, digital technology, and consumer products. He assured the company of all necessary support from the state government for their future ventures in Tamil Nadu.

Concluding his speech, CM Stalin expressed heartfelt gratitude to the VinFast team and all dignitaries present, underscoring the project’s significance as a shining example of the Dravidian Model’s success in attracting global investments and driving localized economic development.

Issued by: Director, Department of Information and Public Relations, Chennai-9