Tesla vs VinFast for India? Vietnam’s bold EV player drops a surprise move ahead of Elon Musk’s big entry


Vietnamese EV company, VinFast, which had debuted at the Bharat Mobility Global Expo earlier this year, has officially opened bookings for its premium SUVs – the VF 7 and VF 6 – across the Indian market. The timing of the pre-booking announcement is especially interesting, considering Tesla is opening its first showroom in India on the same day. 

VinFast Auto India – the Indian subsidiary of the Vietnamese company – has also doubled-down on its India strategy. It has signed agreements with 13 dealer partners to establish 32 dealerships across 27 cities. And these dealerships will not only come up in urban cities but also in emerging EV markets, including Delhi, Gurugram, Noida, Chennai, Bengaluru, Hyderabad, Pune, Jaipur, Ahmedabad, Kolkata, Cochin, Bhubaneshwar, Trivandrum, Chandigarh, Lucknow, Coimbatore, Surat, Calicut, Visakhapatnam, Vijayawada, Shimla, Agra, Jhansi, Gwalior, Vapi, Baroda and Goa.

The EV player is planning for an official launch of the VF 7 and VF 6 for public sale in August, after the inauguration of its Thoothukudi plant. The vehicles will be assembled locally at VinFast’s upcoming Tamil Nadu plant that has been set up with an investment of $500 million. When fully operational, the Thoothukudi plant will produce 150,000 vehicles annually, creating approximately 3,500 direct jobs.

VINFAST’S VF 7 & VF 6

Indian customers will be able to book the premium SUVs either at VinFast showrooms or through their website with a fully refundable booking amount of Rs 21,000. As per VinFast, its offerings are “tailored for Indian roads and consumer needs”. 

VF 7 comes equipped with a spacious premium interior, Level 2 Advanced Driver Assistance Systems (ADAS), large touchscreen, connected car technologies, panoramic glass roof, wireless charging, and signature LED lighting.

VF 6 is more family-oriented, and comes with Level 2 ADAS, an intuitive infotainment system, connected features, signature lighting, and a panoramic roof. 

Pham Sanh Chau, CEO of VinFast Asia, calling the response at the Bharat Mobility Global Expo “overwhelming”, said they are confident that “Indian customers will find these models not only competitive, but truly inspiring”. 

VINFAST’S CHARGING SOLUTION

The Vietnamese company has announced partnerships with RoadGrid, myTVS, and Global Assure to deploy a nationwide charging and after-sales service network. This will ensure real-time charging access, AI-driven diagnostics, and integrated digital platforms to support the company’s EV infrastructure. 

VinFast has also partnered with BatX Energies, an Indian clean-tech company specialising in battery recycling, rare metal recovery, and end-of-life battery repurposing. The company aims to create a circular battery value chain in India. 

The conglomerate offers a wide lineup of electric SUVs, e-scooters, and e-buses. 

TESLA’S ENTRY

Meanwhile, after years of talks and attempts, Tesla is opening its first Indian showroom in Mumbai today – a 4,000-square-foot showroom in Bandra Kurla Complex. A second showroom is expected to open in New Delhi by month’s end. 

However, the Tesla cars come with a hefty price tag, thanks to the import duties, which has been a bone of contention between Elon Musk and the Indian government. The import duties of 70 per cent means that Tesla cars would be priced ex-showroom at between Rs 50-75 lakh for base and mid-level variants. This means Tesla would not be competing with local EV leaders like Tata Motors or Mahindra but in the luxury bracket with BMW and Mercedes-Benz. 

Additionally, Tesla is importing the Model Y crossovers from its Chinese Gigafactory. 

Considering India’s budding EV market – albeit with unprecedented scope – Tesla’s move is touted to be more strategic than a financial one. 

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