Achi news desk-
According to reports, while Musk is expected to reveal an investment amount for India, he may refrain from giving specifics such as a timeline or where the plant will be set up.
Elon Musk, CEO of Tesla, is ready to reveal his investment plans in India, whose value is estimated at 2-3 billion dollars, during his upcoming visit to New Delhi. The investments are mainly aimed at establishing new factories in the country.
During his visit to India, Musk is also scheduled to meet Prime Minister Narendra Modi. It is expected that during this meeting, the billionaire will strongly emphasize and seek support for his intentions to enter the third largest automobile market in the world, where the adoption of electric cars is still in its early stages. However, most of the details of Musk’s visit to India are being closely guarded.
The electric vehicle (EV) market in India, although currently in its nascent stages, is growing rapidly and is primarily led by local automaker Tata Motors. Electric vehicles accounted for just 2% of total car sales in 2023. However, the government has set an ambitious target for electric cars to account for 30% of new car sales by 2030.
Musk’s visit comes as Tesla faces declining sales in major markets such as the United States and China. This week the company also announced layoffs, which will affect 10% of its employees.
According to reports, while Musk is expected to reveal an investment amount for India, he may refrain from giving specific details, such as a timeline or where the plant will be built.
Musk has been a long-time critic of India’s high import taxes on electric vehicles (EVs) and supported the policy change. In March, the Indian government introduced a new EV policy, reducing import taxes to 15% from high levels of 100% on certain models, subject to automakers investing at least $500 million and setting up a factory in the country.
Tesla has reportedly initiated the search for showroom locations in New Delhi and Mumbai. Furthermore, its Berlin plant has already started production of right-hand drive cars, with plans to export them to India starting later this year, according to a Reuters report.
Posted: April 18, 2024, 3:42 PM IST
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