Important Takeaways
- Tesla is reportedly close to finalising a deal with the Indian government to bring its electric vehicles (EVs) to India by 2024.
- An official announcement is anticipated at the Vibrant Gujarat Global Summit in January 2024.
- Tesla is considering Gujarat, Maharashtra, and Tamil Nadu as potential locations for its EV factory in India.
Edits:
No edit has been made to this article since it was first published.
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Tesla, the electric vehicle (EV) company founded by Elon Musk, is about to enter the Indian market as reports suggest that it may strike a deal with the Indian Government.
Tesla could start selling its electric vehicles in India as early as 2024 if the deal goes through. The official announcement of this significant move may take place during the Vibrant Gujarat Global Summit in January 2024.
Tesla's entry into the Indian market could pave the way for the company to establish a manufacturing plant within two years. Maharashtra, Gujarat, and Tamil Nadu are the states being considered for Tesla's manufacturing plant. These regions are well-known for their ecosystems for electric vehicles and robust export capabilities, making them ideal for Tesla's ambitious plans for the Indian market.
To prepare for this venture, Tesla reportedly plans to invest around $2 billion (over ₹16,000 crores) for the manufacturing plant. The company is also exploring the possibility of manufacturing batteries locally to reduce costs. Additionally, Tesla may also spend up to $15 billion (around ₹1.24 lakh crores) to procure auto parts from India.
Although the plans have not been finalised yet, Elon Musk, Tesla's CEO, has expressed his desire to invest significantly in India and visit the country. This move aligns with India's Prime Minister Narendra Modi's push to encourage domestic manufacturing of electric vehicles and promote cleaner transportation.
Despite challenges in India's electric vehicle market, such as high import tariffs and limited charging infrastructure, Tesla's entry could potentially revolutionise the industry. If the deal goes through, Tesla cars manufactured in India could become more affordable for Indian consumers.
Minister Piyush Goyal, who visited Tesla's plant in Fremont, California, suggested in September that Tesla plans to nearly double its auto parts purchases from India. Recent discussions between India and Tesla indicate a willingness to find common ground, including India's consideration of reducing import taxes for international EV manufacturers. This could further benefit Tesla's ambitious plans for the Indian market.
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Date & time of posting: 21 November 2023, 17:51 IST
Posted by: Matter5 News Team
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