Maharashtra, Punjab, West Bengal, Telangana, and Karnataka Governments Minister invites Tesla to set up an Electric Car manufacturing plant in the States.
Minister of 5 Indian States Invites Elon musk to Set up Tesla Plant in India
We all are well aware of the fact that Electric Vehicles (EVs) are the future of automobiles. There are many reasons for this which include air pollution and the rising cost of petrol and diesel over time.
To ease the situation, both the central and state government are working together to promote electric vehicles in India. Though many Indian EV companies have started their operations from the second quarter of 2021 onwards, however, the biggest and topmost electric carmakers are left to spread their wings in the Indian market.
Tesla Motors CEO Elon Musk recently ignited a hot spark with his tweet when he was asked by an Indian user when the company plans to start operations in India, to which he replied with this statement. Given “still working a lot of challenges with the government”.
Still working through a lot of challenges with the government
— Elon Musk (@elonmusk) January 12, 2022
This tweet went viral in a few seconds and within a few hours, it became the new hot topic of the country. The tweet was a direct question on the Indian government for its inability to help Tesla with its setup.
As of early 2021, Musk has already made a statement about the whole issue, claiming that taxes on imported Electric vehicles into India are so high that it’s not even worth making a profit for the company.
As of 2022, India imposes customs duty on imported cars at a margin of 60-100 percent. On fully imported cars with CIF (Cost, Insurance, and Freight) above USD 40,000, an import duty of 100 percent is levied by the country. Cars costing less than US$40,000 are charged a 60 percent fee.
If we talk about Tesla’s standard model by 3 Range Plus, because it is priced at less than USD 40,000, if it were imported to India, it would approximately cost Rs 70 Lakhs on Indian Roads making it on the higher end for Indian citizens.
After the igniting tweet by the CEO, certain Indian states like Telangana, West Bengal, Maharashtra, Karnataka, and Punjab government minister have invited Elon Musk open-heartedly to set up a Tesla plant in their respective states. Though the central government is yet to remark this statement.
Telangana was the first state to take the spot to reply to Musk’s tweet.
The industry and commerce minister of Telangana state said they are looking forward to working with Tesla to set up the business in the state.
Industry and Commerce Minister of Telangana State in Response to Elon Musk-
Hey Elon, I am the Industry & Commerce Minister of Telangana state in India
Will be happy to partner Tesla in working through the challenges to set shop in India/Telangana
Our state is a champion in sustainability initiatives & a top notch business destination in India https://t.co/hVpMZyjEIr
— KTR (@KTRTRS) January 14, 2022
Maharashtra’s water resources minister Jayant Patil in reply to Musk’s tweets said that Maharashtra welcomes Tesla Motors to come and establish a Tesla manufacturing plant and they would help them with all the matters.
.@elonmusk, Maharashtra is one of the most progressive states in India. We will provide you all the necessary help from Maharashtra for you to get established in India. We invite you to establish your manufacturing plant in Maharashtra. https://t.co/w8sSZTpUpb
— Jayant Patil- जयंत पाटील (@Jayant_R_Patil) January 16, 2022
It was later followed by a response from the West Bengal government too which claimed that the definition of Bengal is pure business and the state has the best infrastructure for Musk’s project.
Now, EV lovers in the Indian country are waiting for a response from Musk in return for these ministers, but this is unexpected. We are yet to see what happens and if eventually, Tesla Motors can make its way to Indian shores or need a longer waiting period.