According to Chief Minister B. S. Yediyurappa, Tesla will build its presence in India with a production facility in Karnataka, a state located in the country’s southwestern region.
It has been widely speculated that the next international production plant for Tesla will be built in India. Indian fans of the electric car manufacturer have been pressing CEO Elon Musk for information about the company’s entry into the nation for years. Musk suggested in late 2020 that 2021 will actually be the year it will take place.
India has astronomical taxes on imports that make Tesla’s cars unaffordable for most of the population of the world. For this reason, those who were interested in buying cars wanted a manufacturing facility in the country, and it was finally confirmed in January.
Documents submitted to the Ministry of Corporate Affairs (MCA) of India in January revealed that Tesla had formally applied for multiple business licenses for selling of automotive and energy products. The MCA approved these demands, and Tesla was expected to decide in the coming weeks on the site of a production facility.
Now, it seems that the plant will be in Karnataka, which for many months has been the factory’s frontrunner.
Karnataka Chief Minister B. S. Yediyurappa is now announcing that Tesla will open its Karnataka production facility following an announcement in the Union Budget listing the benefits.
“American firm Tesla will open an electric car manufacturing unit in Karnataka.”
No politician has specifically stated so far that Tesla has selected a particular location for its next production plant. This is the first instance that has seen a major member of the government announce the factory’s position.
Following Yediyurappa’s comment, Gaurav Gupta, Chief Secretary of Commerce and Industries of Karnataka, confirmed that Tesla had not outlined a timeline or manner for the new factory, but that a decision had finally resulted from months of contact with the automaker.
In Karnataka, according to the News Minute, Tesla was also involved in Andhra Pradesh, Tamil Nadu, and Maharashtra. In a statement last week, Maharashtra Industries Minister Subhash Desai said in a statement last week that Tesla was still considering his region as well.
Desai was disappointed with talks that had already been selected for Karnataka, because Tesla had not landed on a particular area for the facility at the time. Karnataka seems to have secured the first Indian factory for Tesla, but there is always the chance that more than one could be built as a production hub for the markets of Africa and South Asia.
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