Tesla CEO Elon Musk is set to visit India later this month to meet with Prime Minister Narendra Modi. Musk confirmed the news, expressing his anticipation for the meeting. The primary agenda is expected to revolve around discussions regarding Tesla's potential investment in India and the establishment of a new manufacturing facility in the country.
Scheduled for the week of April 22 in New Delhi, Musk's meeting with PM Modi is also anticipated to include an announcement about Tesla's plans for India. Earlier reports indicated that Tesla officials would explore potential sites for the manufacturing plant during their visit this month, with an estimated investment ranging from $2 billion to $3 billion.
Tesla has been in preliminary talks with Reliance Industries Limited (RIL) to potentially form a joint venture for building the manufacturing plant in India. Various locations across the country, including Gujarat and Maharashtra, are under consideration, with Maharashtra emerging as a favored choice.
During a recent discussion, Musk emphasized the importance of India's rapidly growing population and the necessity for electric vehicles in the country. He sees India as a natural market for Tesla's electric vehicles.
India recently introduced a new Electric Vehicle (EV) policy aimed at positioning the country as a global hub for EV manufacturing. The policy mandates a minimum investment of Rs. 4,150 crore, with no maximum investment cap, to attract investment from global EV manufacturers like Tesla. Additionally, the policy outlines timelines for setting up manufacturing facilities, commencing commercial production of EVs, and achieving domestic value addition, aiming to promote the 'Make in India' initiative and strengthen the EV ecosystem.
The policy is expected to provide Indian consumers access to advanced technology, promote healthy competition among EV players, and contribute to reducing air pollution and the country's dependence on imported crude oil. Moreover, achieving domestic value addition during manufacturing will be a key focus, with targets set for localization levels over the next few years.
