'Tesla is welcome to come and manufacture in India': Piyush Goyal

In a recent statement, Union Minister of Commerce & Industry Piyush Goyal warmly welcomed Elon Musk’s company Tesla to come and manufacture cars in India. This invitation comes after years of talks between Tesla and the Indian government, with hopes for the automaker's arrival into the Indian market.

Electric vehicle manufacturing in India

In an interview with CNBC, Goyal emphasized that India is big on electric vehicle manufacturing and welcomes all players, including Tesla, to partake in the "Make In India" initiative. He mentioned that India has seen success with Indian companies like Tatas and Mahindras leading the way in electric vehicle production. Several foreign manufacturers have also started making electric vehicles in India, indicating the country's commitment to sustainability and clean energy.

In the interview, Goyal remarked, “Prime Minister Modi has very rightly articulated sustainability from the lens of consumer and the consumption practices. So, therefore, electric vehicles come into that category. And we in India, big on electric vehicles…our Indian companies are doing us proud, Tatas and Mahindras… a number of foreign manufacturers have also started making electric vehicles in India. We invite all of them. Tesla is equally welcome to come and enjoy the huge market opportunity.”

Government's support for Tesla

Addressing Elon Musk's demands for subsidies, Goyal elaborated on the government's approach. He stated that the government has provided two options for companies like Tesla that are willing to manufacture in India.

The first option includes providing subsidies to incentivize manufacturing locally. The second option allows for lower import duties on imported vehicles to assist in creating the market and charging infrastructure, while companies commit to investments in the country.

Elon Musk's delayed India trip

Elon Musk's much-anticipated visit to India was postponed earlier this year, with Musk citing "very heavy Tesla obligations" as the reason for the delay. Despite this, Musk expressed his intentions to visit India later in the year. His trip was expected to include an announcement of an investment of $2 billion to $3 billion, primarily for building a factory in India.

Awaiting regulatory approvals

Apart from manufacturing cars, Musk has also been awaiting regulatory approvals from the Indian government to offer his Starlink satellite broadband services in the country. This move aligns with India's push for digital connectivity and technological advancements.

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