Tesla Motors that specialize in Electric Vehicles has delayed its launch in India further that was scheduled for this summer.
Tesla Motors CEO Elon Musk has had some misinterpretation regarding the product distribution policy of India, and this is delaying the formation of “Tesla India”.
Tesla’s Confusion
The Tesla Motors CEO thinks that according to the Indian regulations a company that wants to set a manufacturing unit in India has to source about 30% of its components locally. Perhaps, for Elon Musk that is not possible as the source of supply doesn’t exist in India for Tesla and setting up a unit here won’t be a practical thing to do.
That is why the CEO dropped his plans to launch the Tesla Electric vehicles in India this year.
India’s Reply To Tesla
After reading the tweet of Tesla’s CEO Elon Musk the Commerce and Industry Ministry of India replied him back on the twitter handle #MakeInIndia clearing off his apparent confusion regarding Indian policies.
The Tweet clarifies:
- That the FDI does not mandates any kind of minimum sourcing of components policy for the manufacturers
- The sourcing policy is only applicable in the case of retail trading
- If a foreign company sets its manufacturing unit in India, its investor is free to sell the goods in any manner be it retail, e-commerce or wholesale
- FDI also grants wholesale of imported goods in India sans the sourcing conditions
India’s Offer To Tesla
India has been coaxing the Tesla’s CEO Elon Musk to launch its battery operated vehicles in India from quite a time now. As India is aware that this will help make the country’s “MakeInIndia” program more substantial in the long run.
India’s PM Narendra Modi and Transport and Highway Minister Nitin Gadkari have payed visit to the Tesla motor’s factories in the US before and were really impressed by the path breaking innovations of the company. The Transport minister also offered land to set up a factory in India.
Since Indian Government is looking forward to make all of the commercial and public vehicles emission free in the future. Bringing Tesla Motors to the country with its electric sedans and SUV would be a great accomplishment in the same direction.
Let’s see what the Tesla’s CEO has in mind for “Tesla India”. Meanwhile, people of India are really waiting tirelessly to get their hands on some of company’s great electric sedans and SUVs as soon as possible.
Source: Electrek
Also, Check Out
Volvo Cars Will Now Be Made in India | Plant Comes Up in Karnataka.
Comments
