Vietnamese major Vingroup plans $3 billion investment in Telangana

Vingroup has signed an MoU with Telangana for a proposed $3 billion phased investment spanning an electric taxi fleet, a mobility platform, a Vinhomes smart city, social infra and renewable energy

Vingroup on Tuesday announced the signing of a memorandum of understanding (MoU) with the government of Telangana for a proposed investment of $3 billion, to be implemented in a phased manner, for developing a multi-sector ecosystem in the state. This includes India’s first large-scale electric taxi fleet, a mobility-as-a-service platform and real estate developments.

 

Under the MoU, both parties will collaborate to explore strategic opportunities across key sectors such as smart urban development, electric mobility solutions, healthcare, education, tourism, renewable energy and charging infrastructure across about 2,500 hectares in Telangana, as well as electric taxi services, with the objective of advancing the state’s socio-economic development and long-term growth vision. The MoU, signed on the sidelines of the Telangana Rising Global Summit, marks a milestone in Vingroup’s global expansion, the company said.

 

  

In electric mobility, Vingroup has proposed introducing India’s first large-scale electric taxi fleet and mobility-as-a-service platform using VinFast vehicles through GSM in Telangana, and may explore opportunities associated with electric vehicle (EV) manufacturing initiatives in the future.

 

In urban development, Vingroup plans to develop the Vinhomes Smart City mega urban area designed for around 200,000 residents on a 1,080-hectare site. The project is expected to generate around 10,000 jobs and will feature a mix of low-rise and high-rise developments, international-standard amenities, a limited built-up footprint and sustainable urban planning principles.

 

A. Revanth Reddy, chief minister, Telangana, said: “The $3 billion investment by Vingroup is a massive vote of confidence in the ‘Telangana Rising’ vision, particularly our focus on sustainable urban development and green infrastructure. This is more than capital; it’s a partnership to build a futuristic, net-zero city and introduce India’s first large-scale electric taxi fleet, directly improving the quality of life for our citizens. Our government guarantees accelerated execution to ensure this global vision becomes a local reality.” 

In social infrastructure, the group proposes to develop facilities on a planned land area of around 70 hectares, including Vinschool’s integrated K-12 education system, Vinmec international-standard multi-specialty hospitals and the V-Green electric vehicle charging network.

 

In tourism and entertainment, Vingroup, through VinWonders, aims to develop an integrated complex that includes a theme park, zoo and safari across around 350 hectares, enhancing Telangana’s tourism infrastructure and creating large-scale employment.

 

In renewable energy, Vingroup, through VinEnergo, proposes to invest in a 500 megawatt (MW) solar farm over an area of around 500 hectares to provide a stable source of green electricity for urban areas, industrial zones and the electrified mobility ecosystem.

 

In addition, Vingroup has proposed participating in the development of strategic connectivity infrastructure to strengthen regional linkages and enhance the capacity for urban spatial development.

 

On the government side, Telangana commits to supporting the identification and facilitation of land allocation for each project, coordinating in master planning and project structuring, assisting with administrative procedures and mobilising relevant agencies to prepare the necessary connecting infrastructure. The state government will also consider the application of incentives in line with existing policies and will work closely with Vingroup throughout the research and implementation stages, the statement said.

 

The MoU establishes a foundation for realising large-scale investment projects that will contribute to Telangana’s economic growth while strengthening the international presence of Vietnamese enterprises, the company said. The partnership also supports the broader economic relationship between Vietnam and India, fostering stronger business community ties and opening opportunities for deeper cooperation.

 

Pham Sanh Chau, chief executive officer of Vingroup Asia and VinFast Asia, said: “Vingroup sees tremendous potential in Telangana and we aspire to build a long-term partnership with the state government. With our proven track record in delivering mega urban developments, large-scale infrastructure and a comprehensive electric mobility ecosystem, we believe that our collaboration with Telangana will generate tangible value, promote sustainable development and enhance the quality of life for local residents.”

 

D. Sridhar Babu, industries minister, Telangana, said: “Vingroup’s multi-sector commitment, spanning smart cities, solar power and advanced social infrastructure such as hospitals and schools, demonstrates the stability and breadth of Telangana’s industrial policy. We are committed to translating this significant capital inflow into local opportunity, positioning Telangana as the gateway for Vietnamese and South-East Asian investment into India’s fastest-growing economy.”

 

Sanjay Kumar, special chief secretary to the government, Telangana, said: “We welcome Vingroup’s presence in Telangana and recognise the achievements the group has made in Vietnam, particularly in urban development, green infrastructure and electrified transportation. With the group’s extensive expertise and capability to execute large-scale projects, we believe that this cooperation will mark an important step forward in shaping a modern and sustainable urban landscape and improving the quality of life for the people of Telangana.”

 

Telangana has a population of around 38.5 million people. As a major technology and economic centre of southern India, Telangana attracts global investors due to its business environment and strong development potential, especially in the software sector.

 

Vingroup is Vietnam’s largest private multi-sector corporation, operating across six core pillars: industrials and technology, real estate and services, infrastructure, green energy, culture and social enterprises, with the vision “to create a better life for people”.