Business

Elon Musk Set to Announce $2-3 Billion Investment Plan for Tesla’s Entry into Indian Market

Tesla CEO Elon Musk is gearing up to disclose his investment plans for India, estimated at $2-3 billion, as he aims to establish a new factory in the country. Musk is slated to unveil these intentions during his upcoming visit to New Delhi next week, where he is scheduled to confer with Prime Minister Narendra Modi, as per two sources familiar with the discussions cited in Reuters report.

Musk’s visit assumes significance, as it is anticipated that he will unveil his strategy to penetrate the world’s third-largest automotive market, where the adoption of electric vehicles (EVs) is still in its nascent stages.

India’s EV market is witnessing an upward trajectory, with Tata Motors currently dominating this relatively small segment. Although EVs constituted a mere 2% of total car sales in 2023, the government has set an ambitious target of having 30% of new cars to be EVs by 2030.

Musk’s visit to India comes at a time when Tesla is facing challenges in key markets like the United States and China, where sales have been dwindling, prompting the company to announce layoffs affecting 10% of its workforce this week.

Details regarding Musk’s agenda in India remain undisclosed, with the CEO confirming only via social media that he will meet with Modi. However, sources suggest that Musk is likely to divulge the investment figure for India during his visit, although specifics such as the timeline or the location within India for the new plant are yet to be revealed.

Tesla has harbored an interest in India for quite some time, with Musk voicing concerns about India’s high import taxes on electric cars for several years. In response, the Indian government unveiled a new EV policy in March aimed at reducing import taxes to 15% from levels as high as 100% on certain models, provided the carmaker invests a minimum of $500 million and establishes a manufacturing facility in the country.

Already, Tesla has commenced scouting for showroom locations in New Delhi and Mumbai, while its Berlin factory is gearing up to produce right-hand drive cars intended for export to India later this year.

Moreover, Musk is anticipated to participate in an event organized by the Indian government in New Delhi focusing on space startups.

(With inputs from agencies)

Also Read: Fatal Collision on Ahmedabad-Vadodara Expressway Claims Ten Lives

Malika Sahni

Recent Posts

Renowned Folk Singer Sharda Sinha Passes Away At 72; PM Modi Expresses Condolences

PM Modi expressed sorrow over Sinha’s death. "The passing of Sharda Sinha ji is deeply…

4 hours ago

US Election: India Confident Of Strong US Relations And Quad Continuity, Says Jaishankar

Jaishankar noted that the US-India relationship has flourished under both Democratic and Republican leadership, including…

5 hours ago

Sanskriti Diwas Marks 98th Birth Anniversary Of Kashiraj Dr Vibhuti Narayan Singh

Program coordinator Chakravarti Vijay Navad announced that 11 prominent individuals received the Kashiraj Dr. Vibhuti…

5 hours ago

Mallikarjun Kharge Slams ‘Batenge Toh Katenge’ Slogan During Jharkhand Campaign

Kharge emphasized that the BJP leaders promote divisive rhetoric as part of their agenda. He…

7 hours ago

Police Arrest Two In Fake Marriage Certificate Racket In Name Of Arya Samaj

DCP Nagar Abhishek Bharti revealed that five couples, including Shivani and Shrikant Yadav, recently filed…

7 hours ago

India And Nigeria Strengthen Counter-Terrorism Cooperation In Second Strategic Dialogue

Doval and Ribadu held detailed talks on challenges linked to terrorism and radicalization, including those…

8 hours ago