Having signed a Memorandum of Understanding (MoU) with the government of Tamil Nadu at the start of 2024, the Vietnamese firm began work on a vehicle and battery manufacturing facility in the state in February.
As per the Indian government’s latest policy, electric vehicle OEMs must commit a minimum investment of USD 500 million (approx. Rs 4,150 crore) towards operationalising local manufacturing facilities within three years.
The two Japanese car companies have decided to team up as both believe it is ‘necessary’ to ‘combine their strengths’ and explore possibilities of future collaboration, specifically on the electric vehicle front.
