HANOI: Vietnam's largest conglomerate Vingroup on Friday (April 10) signed a memorandum of understanding with India's Maharashtra's state government to explore US$6.5 billion in investments aimed at building a multi-sector ecosystem in the financial capital.
The move will deepen Vingroup's footprint in India, where its electric vehicle unit VinFast operates a manufacturing facility in the state of Tamil Nadu, and where it said it plans to build a US$3 billion ecosystem in Telangana state.
As part of the agreement, Vingroup will explore investments across sectors including urban development, electric mobility, renewable energy and public infrastructure in Maharashtra.
In urban development, the company is considering integrated townships spanning roughly 1,000 hectares near Mumbai at an estimated investment of about US$5 billion, while in electric mobility it plans to deploy a fleet of 60,000 electric taxis at a US$1.5 billion investment.
Vingroup did not provide details on the investment disbursement timeline, but said that the plan is expected to create tens of thousands of jobs over the next three to five years.
Maharashtra is India's largest state economy, accounting for about 14 per cent of the country's GDP.
Major domestic EV players such as Mahindra and Mahindra and Tata Motors have a strong manufacturing presence in the state.
Vingroup's operations span industrials, real estate and green energy. The company has been expanding into overseas markets, with India identified as a key strategic priority. - Reuters
