• Sulaiman Umar
• 08 Apr, 2024
• View 95

Tesla CEO Elon Musk said that it will be a natural progression for his company to provide electric vehicles in India. This comes after it was reported that Tesla was searching for a location to set up its factory in India.

It was reported that Maharashtra and Gujarat extended land offers to Tesla for the establishment of an electric vehicle manufacturing plant. Telangana government was also said to be in talks with Tesla for the same. The plant could mean Tesla would invest somewhere between USD 2 billion to USD 3 billion. With this, the company would cater to both domestic and international demand for Tesla's electric vehicles.

Earlier this year, Centre announced a new EV policy that could help Tesla to make an entry in India as the scheme aims to position the country as a preferred manufacturing destination for EVs equipped with cutting-edge technology. The scheme sets a minimum investment threshold of ₹4150 crore and encourage manufacturers to achieve significant levels of domestic value addition (DVA). It also mandates that by the third year of setting up the manufacturing unit, at least 25 per cent of the parts used to make the vehicles should be sourced from within India.

Union minister Nitin Gadkari also said that it is ‘one hundred per cent’ possible for India to get rid of petrol and diesel cars, in an interview with news agency PTI.

“It is difficult but not impossible. This is my vision,” he said.

Culled from Hindustan Times