VinFast Overtakes BYD & Kia: The December EV "Inversion" Explained

In a market notorious for humbling global automotive giants, a dramatic shift has occurred. Just four months after entering India, Vietnamese EV manufacturer VinFast has crossed the critical 1,000 unit sales milestone.

Immediately following this achievement, the company announced a price hike of up to ₹1.3 Lakh across its VF 6 and VF 7 range today, signalling the end of its introductory pricing.

For industry analysts, this is not just a standard price correction; it is a declaration of victory. While legacy brands like Ford and General Motors historically slashed prices in a desperate bid to survive before exiting, VinFast is raising them, a move that indicates "Pricing Power" and validated demand.

The "December Inversion": A New Market Hierarchy

The confidence to hike prices stems from a stunning Q4 performance. Exclusive registration data from Vahan reveals that in December 2025, VinFast successfully overturned the established order of the "Challenger Segment" (brands outside of Tata/Mahindra and MG).

In a phenomenon analysts are calling "The December Inversion," VinFast overtook BYD, Kia, and Hyundai in monthly sales volume.

The December 2025 Scoreboard:

• 🥇 VinFast: 377 Units (2.49% Market Share) Up from just 6 units in Sept.
• 🥈 Kia: 318 Units (2.10% Market Share) Down from a peak of 680 in Oct.
• 🥉 Hyundai: 267 Units (1.77% Market Share) Down from 482 in Oct.
• 🔻 BYD: 239 Units (1.58% Market Share)  Down from 612 in Sept.

The data paints a stark picture: while BYD lost nearly 60% of its volume between September and December due to the "Import Trap," VinFast rocketed from negligible numbers to market leadership among foreign OEMs.

Strategy: How VinFast Cracked the "Price-to-Value" Code

Automotive experts point to three strategic pillars that allowed VinFast to succeed where brands like Citroen and Toyota initially struggled.

1. The "Aggressor" Pricing Strategy

Unlike European brands that often treat India as a high-margin outpost, VinFast treated it as a volume war.

• The Inversion: In Vietnam, the VF 7 retails for approximately ₹27 Lakh. In India, leveraging local manufacturing incentives at its Thoothukudi plant, VinFast launched the same car at ₹20.89 Lakh.
• The Result: This "subsidised entry" allowed them to undercut the BYD Atto 3, which faces import duties pushing its price to ₹25–34 Lakh.
• The Confidence: With 1,000 units on the road creating social proof, VinFast has today revised the VF 7 starting price to ₹21.89 Lakh.

2. Exploiting the "Execution Gap" of Legacy Players

The Vahan data reveals a critical weakness in Hyundai and Kia's strategies.

• The Reality Check: Despite the rollout of mass-market contenders like the Creta EV and Kia Clavis EV, both Korean giants saw sales slip in December.
• The Analysis: "The market is signalling that even fresh legacy launches are struggling to match VinFast’s value proposition," notes an industry observer. While Hyundai and Kia relied on brand loyalty, VinFast attacked the ₹18–25 Lakh "Sweet Spot" with dedicated EVs rather than converted ICE platforms.

3. The Tier-2 "Driveway" Advantage

While competitors fought for dominance in Mumbai and Delhi, VinFast quietly targeted Tier-2 hubs like Jaipur, Udaipur, and Ludhiana.

• The Insight: Buyers in these cities typically own independent homes with driveways, negating the need for public charging infrastructure. VinFast turned "Home Charging" into a primary sales pitch, bypassing the range anxiety that plagues metro apartment dwellers.

Conclusion: The Curse Broken?VinFast vs BYD India sales, VinFast VF 7 price hike, December 2025 EV sales India, VinFast India market share, BYD Atto 3 import tax India, VinFast 1000 units milestone, VinFast Tier 2 city strategy

History suggests that foreign brands usually wait to fail before fixing their pricing or strategy. VinFast, however, capitalised on the gap left by BYD’s regulatory constraints and the legacy players' slow transition.

With 1,000 units sold, a #1 spot in the challenger segment, and the confidence to command a higher price entering 2026, VinFast appears to have done the impossible: they brought "Global Logic" to India, but tailored it perfectly to the Indian wallet.