Tesla Could Set Up Local Production Plant in India

India bound Tesla Model 3 launched-2

Tesla aiming for local production in India; in talks with Dräxlmaier Group and Magneti Marelli to source EV parts

American EV manufacturer Tesla has expressed its desire to set up a plant in India quite some time ago. Now the carmaker seems to be advancing towards its goal and currently it is in talks with component manufacturer to source EV parts to India. Reports suggest that, Tesla is currently in talks with companies like Dräxlmaier Group and Magneti Marelli.

While unveiling the Model 3 sedan, Tesla CEO Elon Musk revealed that this electric car will be available in India and he also hinted that the brand aims to locally produce electric vehicles in India. Under this strategy, India could become Tesla’s hub to export cars to Asian markets. Also, this will boost the Make-in-India campaign as well.

India bound Tesla Model 3 launched

Also read: Anand Mahindra Welcomes Electric Rivalry from Elon Musk’s Tesla

Not only that, as Indian government has taken an ambitious plan to make the entire fleet of vehicles electric powered by next one and half decade. Tesla could boost that drive too as there is no major EV manufacturers present in the country as of now. Interestingly, this development has been reported just after a few days when Elon Musk expressed doubt on the availability of local components for its EVs in India.

Tesla is expected to set up its Gigafactory in India that will produce batteries for electric vehicles. Currently, Mahindra is the only brand in India offering completely made-in-India electric cars like e2o Plus and e-Verito in the domestic market. With arrival of Tesla, the competition is expected to increase as several other brands will attempt to introduce their electric powered cars in the country.

India bound Tesla Model 3 launched-3

Also read: Upcoming Cars in India Priced Between Rs. 10-15 Lakh

Despite being one of the fastest growing the fifth largest auto market in the world, electric vehicles in the country are not yet to get popularity. But, with the arrival of Tesla this scenarios could change. Interestingly, Nissan is also aiming to bring the Leaf EV in the country as a pilot project and this small EV is likely to arrive in the market later this year.

Tesla Model 3 Gallery

Source: Factor Daily