According to a source on Tuesday, senior Tesla executives are to travel to India this week to meet with government representatives as the US-based EV giant works to diversify outside China.
Details on Senior Tesla executives will likely visit India this week to meet with government representatives
“The executives are scheduled to meet with government representatives, including those from the office of Prime Minister Narendra Modi, to discuss local sourcing of components for Tesla’s models,” according to Bloomberg.
For Tesla CEO Elon Musk, who has lambasted India’s high import taxes and electric vehicle rules, this would be a retreat.
C-suite executives and managers from the supply chain, production, and business development departments at Texas-based Tesla could be among the attendees. According to sources cited by Bloomberg, the executives are anticipated to restate Tesla’s demand that India reduce import levies on its automobiles.
Road Transport & Highways Minister Nitin Gadkari stated last year that there is “no problem” if Tesla is prepared to build its electric vehicles in India, but the business must not import automobiles from China.
He asserts that India is fully competent.
“The merchants are accessible. At the Raisina Dialogue, he had stated, “We have all kinds of technologies, and we have all the replacement parts. It will be a win-win situation for both India and Tesla.
The heavy industries ministry had also requested that Tesla begin producing its recognisable electric vehicles in India before any tax breaks could be considered in 2021.
The US company said that the effective import tariff of 110 percent on cars with a customs value of more than $40,000 was “prohibitive” to zero-emission cars in 2021.
It had asked the government to remove the 10% social welfare levy on electric cars and standardise the tariff on electric automobiles to 40% regardless of the customs value.
It had claimed that these modifications would accelerate the growth of the Indian EV ecosystem and that the firm will make considerable direct investments in infrastructure for sales, services, and charging as well as greatly increase the amount of goods it purchases from India for its international operations.
