Telangana Attracts USD 3 Billion Vingroup Investment for Smart City, EV Fleet, Renewable Power Push

Vietnam’s Vingroup has signed a Memorandum of Understanding (MoU) with the Telangana government to invest USD 3 billion in a multi-sector ecosystem — spanning smart urban development, electric mobility, social infrastructure, tourism, and renewable energy — marking one of the state’s largest proposed foreign investments in recent years.

Announced at the Telangana Rising Global Summit, the phased investment will cover approximately 2,500 hectares across multiple projects and aims to accelerate the state’s socio-economic transformation.

India’s first large-scale EV taxi fleet planned

In electric mobility, the group plans to roll out India’s first large-scale electric taxi fleet under GSM using VinFast vehicles. It will anchor a mobility-as-a-service platform and potentially seed future EV manufacturing initiatives in Telangana.

Chief Minister A. Revanth Reddy said the investment is “a massive vote of confidence in the ‘Telangana Rising’ vision… and a partnership to build a futuristic, net-zero city and introduce India’s first large-scale electric taxi fleet.” He added that his government would ensure “accelerated execution to make this global vision a local reality.”

Also Read: Big Win For Make In India! Vietnamese EV Maker VinFast Begins Production In India—Details | Republic World

Smart city for 200,000 residents

The centrepiece of the investment is the Vinhomes Smart City, planned across 1,080 hectares and designed for 200,000 residents. The urban hub is projected to create 10,000 jobs and include mixed-use developments, international-standard amenities, sustainable planning, and a restricted built-up footprint.

Social infrastructure will span 70 hectares, featuring Vinschool’s K–12 system, Vinmec multi-specialty hospitals, and the V-Green EV charging network.

Industries Minister D. Sridhar Babu said the multi-sector scope — from smart cities and schools to hospitals and solar energy — highlights the “stability and breadth of Telangana’s industrial policy,” positioning the state as “the gateway for Vietnamese and Southeast Asian investment into India’s fastest-growing economy.”

Tourism and renewable energy boost

Vingroup’s VinWonders division plans a 350-hectare tourism and entertainment complex with a theme park, zoo, and safari, while VinEnergo will invest in a 500 MW solar farm across 500 hectares to power urban areas, industrial hubs, and the electrified mobility ecosystem.

Special Chief Secretary Sanjay Kumar, IAS, said the cooperation aligns with Telangana’s goal of shaping a “modern and sustainable urban landscape.”

Strengthening Vietnam–India economic ties

Pham Sanh Chau, CEO of Vingroup Asia and VinFast Asia, said Telangana offers “tremendous potential,” adding that Vingroup’s experience in mega infrastructure, green mobility, and urban ecosystems will create “tangible value and sustainable development” for the state.

The MoU expands Vingroup’s India footprint following VinFast’s entry into Tamil Nadu and signals growing Vietnam–India economic engagement.

Telangana, home to 38.5 million people, has become one of India’s strongest technology and investment hubs, while Vingroup continues to scale globally, recently earning a place on TIME magazine’s list of the World’s Best Companies 2025.