Tesla CEO Elon Musk has confirmed that Tesla will not build an electric car factory in India unless the electric carmaker is allowed to import cars first.
“Tesla will not place a factory in any location that doesn’t allow the sale and service of cars in advance,” Musk tweeted recently.
Elon Musk’s tweet was in response to a Twitter user’s question about Tesla’s future in India.
See also: Tesla hold plans to sell electric vehicles in India
Tesla will not put a manufacturing plant in any location where we are not allowed first to sell & service cars
— Elon Musk (@elonmusk) May 27, 2022
Tesla has long been interested in entering the Indian market. However, the country levies a 100 percent tax on imported cars that cost more than USD 40,000. Meanwhile, cars that cost less than that are subject to a 60 percent tax.
Elon Musk asked the Indian government to ease taxes so Tesla could import electric cars from its factories in the United States and China. However, India refuses unless Tesla commits to building a car factory there.
See also: India says no to Tesla importing EVs from Giga Shanghai
India’s Minister of Land and Highways Transport Nitin Gadkari said he hoped Tesla would build a factory in the country.
“India is a big market and offers good export opportunities as well. Musk can export Tesla cars from India,” he was quoted as saying by the Indian Tribune.
