Tesla Not Interested In Manufacturing In India: Heavy Industries Minister
- Tesla has called India a ‘hard market’ in the recent past
- The new EV policy aims to reduce duties on imported EVs to 15%
- The duty cut will be applicable subject to certain conditions being met
Union Minister for Heavy Industries, H D Kumaraswamy has added a new perspective to the long-lasting ‘Tesla in India’ saga by stating that the American electric vehicle giant is not interested in making vehicles in India and is just keen on opening showrooms instead. He said this while notifying the guidelines for the scheme to promote manufacturing of EVs in India.
The new EV policy includes a major duty cut for imported EVs in India
Kumaraswamy said, “Tesla, they only want to start showroom, they’re not interested in manufacturing in India.” He added that brands like Volkswagen, Skoda, Mercedes-Benz, Hyundai and Kia have already shown interest in manufacturing in India under the new EV policy.
Also Read: Tesla Cautious About India Entry Plans: 100% Tariff "Creates Anxiety" Among Buyers
Just a few weeks back, Tesla’s CFO, Vaibhav Taneja had called India a very hard market adding that 100% tariff created anxiety among buyers. However the new EV policy announced by the Government has brought that duty down to a mere 15%, provided the brand agrees to invest a minimum of Rs 4,150 crore (USD 500 million) in manufacturing operations in the country.
The new EV policy is being seen as a major catalyst to much awaited entry of Tesla In Indian market. In the recent times, the brand has announced job openings in India while also finalising a retail space in Mumbai.
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