Passionategeekz According to June 22, after years of preparation and waiting, Tesla has finally expanded its business to the Indian market. According to Bloomberg, Tesla has begun shipping its first vehicles from China to India, marking substantial progress in the Indian market.
As early as ten years ago, Tesla intended to enter the Indian market. In 2015, Tesla CEO Elon Musk mentioned Tesla’s business layout in India for the first time when he met with Indian Prime Minister Narendra Modi at the Fremont plant in California. Over the years, both sides have repeatedly hinted that Tesla will enter the Indian market, but Tesla’s attempt has not made substantial breakthroughs due to issues such as import tariffs.
Now, Tesla’s plan has finally made significant progress. According to Bloomberg, Tesla has transported its first vehicles from China to India, which are Model Y rear-wheel drive versions, and Tesla will open a showroom in India in July. In addition, Tesla is also making other preparations for entering the Indian market, including the construction of super charging networks, the procurement of after-sales parts and peripheral products, and the allocation of parts from the United States, China and the Netherlands.
Tesla’s successful entry into the Indian market this time is inseparable from the promotion of Musk and Modi’s meeting in the United States in February this year. The two sides may have reached some kind of agreement, paving the way for Tesla to enter the Indian market.
India is a country with a huge consumer market for automobiles, but electric vehicles account for a very low proportion of total car sales in India in 2024.
It is worth noting that Tesla’s vehicles shipped to India this time came from the Shanghai Super Factory, rather than the Berlin Super Factory, which was previously believed to be supplying. According to Reuters, the Berlin factory planned to produce vehicles for India last year.
According to Passionategeekz, India has always pursued a strict domestic manufacturing priority policy. Previously, import tariffs on foreign auto manufacturers reached as high as 110%, which greatly restricted foreign auto brands from entering the Indian market. Now, the Indian government has lowered import tariffs to 15%, on the condition that companies need to invest in India and achieve certain investment and sales targets.
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