As Elon Musk prepares to arrive in India in the next couple of days to announce Tesla’s local manufacturing plans, homegrown Electric Vehicle (EV) startups on Friday said Tesla’s entry would drive infrastructure development and job creation. They said that the billions of dollars worth of investments will drive technological advancements, infrastructure development and employment generation, leading to an increased adoption of EVs across India.
During his meeting with Prime Minister Narendra Modi, the Tesla and SpaceX CEO is expected to announce a USD 2-USD 3 billion worth Tesla manufacturing facility. He might also announce the likely arrival of his affordable satellite Internet service Starlink, for which the government has speeded up the licence approval process.
Akshit Bansal, Founder and CEO of EV charging infrastructure provider Statiq, said that Tesla’s entry presents numerous opportunities for the domestic EV industry. “Despite being renowned for their premium pricing, Tesla’s popularity is undeniable. By establishing a presence in India, Tesla stands to gain access to a burgeoning market of tech-savvy consumers who are increasingly embracing sustainable transportation solutions,” Bansal said.
Moreover, Tesla’s reputation for innovation and advanced technology could attract a segment of Indian consumers who value quality and performance over price alone. A cheaper Tesla EV worth around INR 20 lakh in the future is also a possibility, which will further drive the momentum for the Musk-run company. Hari Kiran, Co-Founder and COO at electric two-wheeler manufacturer eBikeGo, said that Tesla’s entry holds significant importance for the EV industry in the country. “The entry of such global brands into the Indian EV market will not only lead to a market penetration of EVs up to 40 per cent by 2030 but also increase the value of the EV sector to almost USD 100 billion per year,” Kiran told.
The shift will result in the creation of num