Tesla Eyes India for $2-$3 Billion Electric Vehicle Plant Investment

Tesla is actively seeking locations in India for a new electric vehicle plant, with expected investments of $2-$3 billion, reports FT.

The company already operates manufacturing sites in the US, China, and Germany.

Tesla is said to be actively searching for sites in India to establish an electric vehicle facility, with projected investments ranging from $2 to $3 billion. The bulk of Tesla’s revenue comes from automotive sales (81.1%) and services (8.6%), although it also has a smaller footprint in energy systems and leasing. Presently, Tesla operates across several nations, including the US, China, and Germany, where it maintains manufacturing facilities.

– In the coming month, a team from Tesla based in the United States will visit potential locations in states such as Maharashtra, Gujarat, and Tamil Nadu. They will prioritize areas with established automotive clusters and access to ports for streamlined export processes.

– Tesla is contemplating the production of a smaller, more affordable model priced below $30,000 at this facility. The aim is to target not only the Indian market but also to facilitate exports to Southeast Asia, the Gulf region, Africa, and select parts of Europe.

– This endeavor has the potential to become one of the most significant foreign investments in India. The proposed factory could have an annual production capacity of up to 500,000 cars, marking a significant milestone for the country.

Update

Tesla, $TSLA, has commenced manufacturing right-hand drive vehicles at its facility in Germany with the intention of exporting them to India later in the year.

Tesla is set to introduce vehicles bound for India from its Gigafactory in Germany. New import regulations in India permit a 15% tax on a maximum of 8,000 cars annually priced over $35,000.

Elon Musk commented on Tesla’s expansion into India, stating that offering electric vehicles there is a natural move for the company.

bigbreakingwire

Stay informed with our financial updates, stocks, bonds, commodities. Get global & political insights. Follow us & enable notifications for the latest updates.

bigbreakingwire.in