There have been a lot of reports recently regarding Tesla’s willingness to establish its Gigafactory in India.
Elon Musk recently met with PM Modi on the latter’s official visit to the USA where a discussion about a huge Tesla investment in India took place. Tesla has been planning to enter the Indian market for years now. Having delayed the plans on multiple occasions due to many reasons, the latest development suggests that it wants to establish its Gigafactory in India. Elon Musk had tried to make the Indian government lower the import duties so that Tesla could test the market by exporting products to India. However, the government didn’t budge. With import duties in excess of 100%, it won’t make sense to bring Tesla EVs to India. The alternative is to set up manufacturing in the country.
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Musk Says Tesla Will Make Significant Investment in India
The internet is flooded with the interview of the Tesla Chief, Elon Musk after he met with PM Narendra Modi recently. Musk was particularly excited after the meeting and was singing praises of the Indian PM. He mentions that the PM thinks about his country and its best interest. That is how he interacted with him as well. In a nutshell, both parties are trying to create a conducive atmosphere to talk about a business proposition that will benefit everyone. This includes Tesla, as well as the people of India.
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Tesla currently operates Gigafactories in Texas, New York, Nevada, Shanghai and Berlin. In addition to that, Tesla has also announced another Gigafactory in Mexico. The location of the next Gigafactory is slated to be finalised and announced by the end of this year (2023). There are high chances that it could either be India or Indonesia. We also had a few top Tesla executives visit India a few weeks ago with regard to this. Let us see what the future holds and which country Tesla chooses to set up its manufacturing.
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What We Think
We understand our government’s decision to not bend the rules for any particular company. But at the same time, we also want to experience world-class products which will lead to increased competition. This, in turn, will propel and force other car makers in India to be on their toes and offer great and value-for-money cars to buyers. In the end, it must be the customers who benefit from increased competition. Therefore, we would love to see Tesla cars on the Indian roads in times to come.
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