Musk says no plant in India until Tesla is allowed to sell imported cars

Hinting that Tesla would not set up a manufacturing plant in India, the carmaker’s chief executive officer (CEO) Elon Musk on Friday tweeted that the company will not be allowed to sell and service imported cars in the country for the first time. Till then the bases will not be established. ,
Responding to a person on Twitter who questioned Musk as well as Tesla’s plans to set up a manufacturing plant in India, the billionaire replied, “Tesla will not set up a manufacturing plant in any location where we are allowed to sell first. No more service car.”

These comments suggest that the standoff between the government and Tesla Regarding setting up of manufacturing plants in the country.

Earlier in April, the Union Minister for Road Transport and Highways, highlighting the conducive environment for automobile manufacturing in India Nitin Gadkari said that Elon Musk India is welcome to build e-vehicles, but if Tesla owners want to build China And sell here, it can’t be “good offer”.

Gadkari made the remarks while speaking at a private event in Delhi while responding to a question on Tesla’s concerns over “higher duties” in India.

“It’s a very easy option; if Elon Musk is ready to build a Tesla in India, no problem. We have all the qualifications, the vendors available. We have all kinds of technology and because of that, He can reduce the cost,” Gadkari said.

Inviting Tesla to start manufacturing in India, the Union Minister said that India is a huge market, and infrastructure like ports is available to enable exports.

“Welcome to India. We have no problem, but, let’s say, he wants to manufacture in China and sell in India, it may not be a good proposition for India. We request him, India Come and build here,” Gadkari said.

Citing the tremendous growth in the e-vehicle sector in India in the last few years, Gadkari further said that “I suggest to Elon Musk, in India, he will find a good market and the Indian market is huge. It is a win-win.” .-win situation for both.”

He said that India has all the quality vendors and automobile spare parts available in China and “it may be easier for them to make it in India and sell it in India. They will make good profits from it, and have good economics. I want them to come to India.” And request to start construction here.”

Echoing similar sentiments, Minister of State for Heavy Industries Krishna Pal Gurjar had said in the Lok Sabha during the first Question Hour in February that there cannot be a situation where the market is in India, but employment is created in China.

In 2020, Musk announced plans to open up production of Tesla electric vehicles in India. Tesla, a subsidiary of India Motors & Energy Pvt Ltd, was established in Bengaluru in South West India. Musk said he is ready to build a Tesla factory in India if the country lowers the cost of importing electric vehicles.

Elon Musk, an American entrepreneur and founder of Tesla, said the electric vehicle company is facing “many challenges” with the government regarding setting up car production in India.

Earlier in January, a Twitter user posted a tweet asking Musk if there were any further updates on Tesla’s manufacturing launch in India and said the vehicles “deserve to be in every corner of the world.”

“Still facing many challenges with the government,” Musk replied on Twitter.