Welcome to India, Tesla and Elon Musk, but…: Heavy Industries Minister
Elon Musk and Tesla are welcome to visit India, but the government will not compromise in any way on the Aatmanirbhar Bharat or self-reliant India policy, Union minister Mahendra Nath Pandey said on Saturday. American electric carmaker Tesla, which has been seeking a reduction in import duties to sell its vehicles in India, will not manufacture its products locally unless it is first allowed to sell and service its vehicles in the country, company founder and CEO Elon Musk said.
“Tesla will not build a factory in any location where we are not permitted to sell and service cars first,” Musk wrote in a tweet in response to a user who inquired about Tesla’s plans to build a factory in India.
“The government under Prime Minister Modi has pushed ahead rapidly on the Aatmanirbhar Bharat policy and received a very excellent response on it, and we are not going to compromise on it in any way,” the Minister for Heavy Industries and Public Enterprises said at The Global Summit by TV9 on Saturday.
“Tesla and Elon Musk are welcome in India,” he continued, “but only in accordance with the country’s rules.”
Musk stated in August of last year that Tesla may establish a manufacturing facility in India if it succeeds with imported automobiles in the nation first. India currently charges a 100% import duty on fully imported cars with a CIF (Cost, Insurance, and Freight) value of more than USD 40,000 and a 60% levy on those costing less.
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