Exclusive-VinFast puts the brakes on manufacturing some cars in India, sources and memo say

VinFast has halted manufacturing plans for three electric vehicles in India, according to two sources and a company memo obtained by Reuters. The suspension comes a year after the Vietnamese automaker entered the Indian market, where it had previously opened its first factory outside Vietnam in southern India and pledged to invest $2 billion.

VinFast has asked suppliers to suspend work on the VF 3 - a two-door SUV expected to be its most competitive model - and the VF 6 and VF 7 SUVs, which are currently imported as kits from Vietnam and assembled in India. The company is reassessing costs and considering local sourcing to better meet Indian customer needs, while it plans to develop India-specific models.