OPEN APP
Home / Companies / News /  Tesla launch in India: Elon Musk shares an update
Listen to this article

Tesla founder and CEO Elon Musk on Thursday informed that the US-based EV-maker is facing a ‘lot of challenges’ for its car launch in India, and the company is working with the govt to overcome obstacles.

“Still working through a lot of challenges with the government," Musk tweeted.

Musk was replying to a Twitter user, Pranay Pathole, who asked, “Yo @elonmusk any further update as to when Tesla's will launch in India? They're pretty awesome and deserve to be in every corner of the world!"

Tesla has urged Prime Minister Narendra Modi's office to slash import taxes on electric vehicles before it enters the market.

CEO Musk had raised his reservations about launching EVs in India due to the high import duties. Musk hopes for a 'temporary tariff relief for electric vehicles' as Tesla continues to lobby hard to reduce the taxes before it officially launches any cars in India. 

Musk had said that Tesla wants to launch its cars soon in India, but Indian 'import duties are the highest in the world by far of any large country!' He had also said that a Tesla 'factory in India is quite likely' but at the condition that its imported cars first succeed in the country.

India currently demands customs duty ranging between 60 per cent to 100 per cent on imported cars. India imposes 100% import duty on fully imported cars with CIF (Cost, Insurance and Freight) value over $40,000, while 60% duty is imposed on cars that cost less than the amount.

Even as Tesla is holding out for a cut in import duties, luxury carmaker Mercedes-Benz will start assembling the electric version of its flagship S-Class sedan, the EQS, in India later this year.

In January 2021, Tesla registered its Indian arm amid indications that the company is set to enter the country's automobile market.

According to a regulatory filing, the firm registered Tesla India Motors and Energy Pvt Ltd with RoC (Registrar Of Companies) Bangalore.

The company has been registered as an unlisted private entity with a paid-up capital of 1 lakh.

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Never miss a story! Stay connected and informed with Mint. Download our App Now!!

Close
×
Edit Profile
Get alerts on WhatsApp
My ReadsRedeem a Gift CardLogout