The Indian government invited Tesla CEO Elon Musk to collaborate. In response to government recommendations, the company will soon establish its vendor base in India, along with its electronic vehicle production here in India. They will begin by assembling their domestic vehicles, followed by relocating their vendor base.
Half of Tesla’s global production is already in Shanghai, China. Collaboration with India would imply the relocation of their Mega battery factory to India, which would imply Telsa withdrawing from its professional ties in China or reconsidering. Following the establishment of the manufacturing facility in India, a joint alliance will be formed with Indian business firms, similar to the border clashes in 2020.
Financial Express claims that Tesla has already been asked to submit a timeline for setting up their Indian supply base by the Indian government. Within the next three to six months, the company will divulge the same information. After receiving the blueprint, the government will be able to choose the concession offer and time frame for the setup.
The Indian government will include Tesla in the PL scheme only after it agrees to the offer. Similar to recent PL scheme work on IT hardware and telecom production, the modified PLI scheme will also indicate Tesla’s advanced chemistry cell battery and its electronic vehicle.
