The US electric carmaker Tesla has yet to communicate its plans to the Indian government under the newly announced electric vehicle (EV) policy, an official disclosed on Friday. This comes as Elon Musk, CEO of Tesla, postponed his anticipated visit to India, which was scheduled for April 21-22, citing “very heavy Tesla obligations.”
Musk’s visit was highly anticipated, with plans to meet Prime Minister Narendra Modi and possibly announce Tesla’s entry into the Indian market. However, the silence from Tesla has left Indian officials in the dark regarding the company’s intentions. “They (Tesla) are just silent… the (EV) policy was always meant for everybody,” the official stated, emphasizing that Tesla has not communicated any specific plans despite the favorable policy environment.
An e-mail query sent to Tesla regarding their plans remained unanswered. In a previous post on X, Musk had expressed his eagerness to visit India, stating, “Looking forward to meeting with Prime Minister @NarendraModi in India.” This statement followed a meeting in June last year between Musk and Modi during the Prime Minister’s US visit, where Musk indicated that he planned to visit India in 2024 and expressed confidence in Tesla’s entry into the Indian market.
Musk’s proposed visit had raised significant expectations that he would announce plans for Tesla to establish a manufacturing unit in India, which could entail investments worth billions of dollars. Additionally, there were speculations about Musk’s satellite internet business, Starlink, entering the Indian market, pending regulatory approvals.
In the past, Musk has advocated for a reduction in import duties in India to facilitate the sale of Tesla cars in the country. His recent visit was expected to address this issue and potentially unveil concrete plans for Tesla’s operations in India.
The new EV policy announced by the Indian government includes import duty concessions for companies that set up manufacturing units in the country with a minimum investment of USD 500 million. This move aims to attract major global players like Tesla, but the company’s silence has left its future plans in India uncertain.
With the Indian market being a significant potential growth area for electric vehicles and satellite internet services, stakeholders await further communication from Tesla. The government’s EV policy is designed to create a conducive environment for global players, and Tesla’s eventual entry could mark a significant milestone in India’s journey towards sustainable transportation.
