Tesla is considering a joint venture with Reliance, India’s largest conglomerate. Reliance would help Tesla build a manufacturing facility and the EV infrastructure in India.
Elon Musk will meet Prime Minister Modi on April 22, 2024, in New Delhi, India. Following his visit, Musk is expected to announce more details on a potential Tesla factory in India and the company’s investment in the country.
Tesla has been reportedly surveying potential sites for a manufacturing plant in India. Besides Musk, a Tesla team is expected to land in India to continue the search for a site. Currently, Tesla has allegedly pinpointed locations in Gujarat and Maharashtra.
Tesla is expected to announce a $2 billion investment in India, which will go toward a gigafactory and other areas to support EVs. The investment follows the Indian government’s new policy for electric vehicles, which provides benefits to companies that invest a minimum of $500 million in the country. Companies that decide to invest in India must build manufacturing facilities in the country and start domestic EV production within three years.
There are a few other requirements under India’s new EV policy. However, the benefits outweigh the criteria. Companies that invest $800 million in India can import up to 8,000 EVs per year at a reduced import duty of 15%. Giga Berlin is already producing right-hand-drive (RHD) vehicles for India, hinting that Tesla is sure about investing in the country.
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