(VitalNews.org) – Tesla has been reportedly looking into different electric vehicle locations and they have their eye on India for their next location.
The factory that Tesla is looking to build in India would be worth between two and three billion dollars. Prime Minister Narendra Modi did speak out about wanting to be the next production location for electric vehicles. Tesla has said that they are interested in the states of Maharashtra, Gujarat, and Tamil Nadu in India to build their factory.
India has set up an incentive recently for electric vehicle companies by lowering the import tariffs for them as long as they are willing to make at least a five hundred thousand dollar investment.
“The Government of India has approved a scheme to promote India as a manufacturing destination so that e-vehicles with the latest technology can be manufactured in the country,” the Indian government said.
Modi met with Elon Musk, Tesla CEO, in order to discuss business opportunities they could take part in together.
“Tesla is the most attractive electric vehicle maker for India due to its large appetite for investment in global expansion appetite and its ability to develop the EV production ecosystems,” Ashwin Amerkar, a Canalys analyst, said.
He continued, “The new Indian EV policy offers increasing incentives, making it a prime opportunity for Tesla to establish a strong position in the country.”
Tesla is in competition with China’s BYD, the popular electric vehicle company in China, making India a clearer choice for Tesla’s expansion.
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