Photo: Tesla
What started out as a tweet from Tesla Club India morphed into a confirmation. “Next year for sure” is when the Palo Alto-based automaker will enter the emerging market that has recently announced billions in incentives for battery manufacturers.
Ever since he assumed office six years ago, Prime Minister Narendra Modi and his cabinet have been focusing on the electrification of the Indian subcontinent through various bills and promises. Understanding the EV roadmap in this part of the world is difficult, though, but everything boils down to the average new-vehicle price.
The figure you’re looking for is 7.7 lakh, translating to $10,500 at current exchange rates. Tesla has promised a $25,000 electric vehicle in 2023 at the earliest, but that’s still too much for most prospective customers in India. Otherwise said, the American automaker may want to adapt its vehicles to this market by lowering the upfront price.
“Wishful thinking,” I hear you say, and you’re most likely correct. Tesla lives and dies by its stockholders, and low-cost vehicles aren’t as profitable as the Model 3 or Model S. The Musk Man did hint at a new factory in Asia – outside of China – yet the big kahuna didn’t mention if he was referring to battery or vehicle production.
There is no denying that India makes a lot of sense for a manufacturing plant thanks to cheap labor, but Japan and South Korea seem like better options given their experience in the automotive business and their ties to Western markets. As it is, this confirmation of Tesla coming to India is nothing more than a vague promise.
Reports in the local media further suggest the opening of a research and innovation center in Karnataka. The state capital – Bengaluru – is a hotspot for big players in the industry such as Bosch, Daimler, and Mahindra’s electric business venture.
The figure you’re looking for is 7.7 lakh, translating to $10,500 at current exchange rates. Tesla has promised a $25,000 electric vehicle in 2023 at the earliest, but that’s still too much for most prospective customers in India. Otherwise said, the American automaker may want to adapt its vehicles to this market by lowering the upfront price.
“Wishful thinking,” I hear you say, and you’re most likely correct. Tesla lives and dies by its stockholders, and low-cost vehicles aren’t as profitable as the Model 3 or Model S. The Musk Man did hint at a new factory in Asia – outside of China – yet the big kahuna didn’t mention if he was referring to battery or vehicle production.
There is no denying that India makes a lot of sense for a manufacturing plant thanks to cheap labor, but Japan and South Korea seem like better options given their experience in the automotive business and their ties to Western markets. As it is, this confirmation of Tesla coming to India is nothing more than a vague promise.
Reports in the local media further suggest the opening of a research and innovation center in Karnataka. The state capital – Bengaluru – is a hotspot for big players in the industry such as Bosch, Daimler, and Mahindra’s electric business venture.
Hey Elon , just thought we'd put this out here. We wait and hang on to hope wrt "hopefully soon" for India Tesla entry. Would love to hear of any progress in this regard. pic.twitter.com/8FNvyqFhIX
— Tesla Club India™ (@TeslaClubIN) October 2, 2020
Next year for sure
— Elon Musk (@elonmusk) October 2, 2020
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