Tesla, the renowned electric vehicle manufacturer, is reportedly contemplating the establishment of a battery storage factory in India, signaling a departure from its traditional vehicle Gigafactory ventures. Citing anonymous sources, a report from Reuters reveals that Tesla's plan revolves around the production of Powerwall batteries, with several meetings having already taken place in New Delhi where the company's team presented their proposal to Indian authorities. However, initial discussions surrounding incentives for the battery storage factory have encountered resistance.
While the realization of this plan remains uncertain, Tesla's unwavering commitment to entering the Indian market is unmistakable. This strategic move follows Union Minister Piyush Goyal's disclosure that Tesla intends to procure components valued at up to $1.9 billion from Indian manufacturers this year.
Tesla's efforts to establish a foothold in India have been steadily gaining momentum, especially since CEO Elon Musk's meeting with Prime Minister Narendra Modi earlier this year. Prior to this encounter, negotiations between Tesla and India had stalled due to concerns related to import taxes and electric vehicle policies. Elon Musk had expressed apprehensions about India's high import duties, while Indian authorities had expressed a preference for Tesla to manufacture vehicles locally rather than importing them from China.