Why Tesla is Focusing on Showrooms Instead of Manufacturing in India

Tesla's Plans for India

New Delhi: Tesla, the leading electric vehicle manufacturer, has expressed no intention of producing cars in India, according to Union Heavy Industries Minister H D Kumaraswamy. Instead, the company is focused on opening showrooms across the nation.

In a recent statement, US President Donald Trump remarked that if Tesla were to establish a factory in India to avoid tariffs, it would be considered 'unfair' to the United States.

Kumaraswamy noted, "Tesla is primarily interested in launching showrooms rather than manufacturing vehicles in India."

These comments were made during a press conference where the minister introduced new guidelines aimed at promoting electric vehicle manufacturing in India.

An official mentioned that Tesla has not demonstrated significant interest in manufacturing, having only participated in the initial stakeholder discussions for the electric vehicle manufacturing scheme. Representatives from Tesla did not attend subsequent meetings.

Elon Musk, the CEO of Tesla, previously indicated that his trip to India was postponed due to the company's extensive commitments.