Tesla urged by Indian Minister to not sell China made EVs in South Asian nations

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Indian Minister for Road Transport and Highways, Nitin Gadkari, has urged Tesla to stop selling its electric cars made in China to other countries in South Asia. The news arrives prior to the company’s EVs entering the Indian market.

Tesla

According to SCMP, the Minister stated that the American electric car manufacturer should “make cars in India, sell in India and export from India.” Furthermore, the brand should also rely on local suppliers. The Minister further added that Tesla car models in India will cost around 35 lakh INR or about 46,600 US Dollars and the local government is aiming on helping the brand bring its EVs into the country.

Back in August, Tesla had stated that it has received approval to make or import four of its EV car models in India. As of right now, the company is manufacturing its vehicles in factories in the US and in Shanghai, China, while also awaiting final approval for a new plant in Germany as well. Meanwhile, India is also trying to diversify its supply chains away from China, due to recent frictions caused by military clashes in the border regions last year.

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Prior to Tesla’s arrival in India, the company’s chief executive Elon Musk stated that the firm’s new electric vehicle plant near Berlin is expected to start producing new cars as early as next month. This factory will be making Model Y cars around November or December and will likely sources its batteries from the company’s factory in China.

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