New Delhi: India has asked Tesla Inc. To expedite local procurement and share detailed manufacturing plans before considering the carmaker’s demands for lower taxes on electric vehicles, a person with knowledge of the matter said.
The ministries of heavy industry and finance asked Tesla for details at a meeting earlier this month, even as the government probed billionaire Elon Musk’s demand for lower taxes on EVs. Asiaof the third-largest economy, the person said, asking not to be identified because discussions are private.
The departments have sought their views from Tesla on importing fully built cars versus so-called knock-down units or partially built vehicles, which attract lower import levies, the person said.
Tesla did not respond to requests for comment. representatives of ministry of heavy industries And this Finance Ministry could notCould not immediately be reached for comment.
California-based Tesla wrote a letter to the Prime Minister Narendra ModiIn July, the government asked to reduce the import duty on electric cars to 100% from the current 60%. The company called for an end to the 10% social welfare surcharge – which is levied on all imported cars and helps fund health and education programs.
At the meeting, Tesla claimed that it has procured $100 million worth of components from India so far and suggested that the figure would increase after any tax concessions, the person said. Tesla also promised to make significant direct investments in sales, service and charging infrastructure, and to evaluate wider investments in manufacturing after entering the world’s second most populous country.
Musk has for several years shown a willingness to enter one of the world’s most promising automobile markets, but has complained that Indian regulations prevent him from testing the waters with first imports, as the high tariffs make Tesla cars “unbearable”. “Make.
The ministries of heavy industry and finance asked Tesla for details at a meeting earlier this month, even as the government probed billionaire Elon Musk’s demand for lower taxes on EVs. Asiaof the third-largest economy, the person said, asking not to be identified because discussions are private.
The departments have sought their views from Tesla on importing fully built cars versus so-called knock-down units or partially built vehicles, which attract lower import levies, the person said.
Tesla did not respond to requests for comment. representatives of ministry of heavy industries And this Finance Ministry could notCould not immediately be reached for comment.
California-based Tesla wrote a letter to the Prime Minister Narendra ModiIn July, the government asked to reduce the import duty on electric cars to 100% from the current 60%. The company called for an end to the 10% social welfare surcharge – which is levied on all imported cars and helps fund health and education programs.
At the meeting, Tesla claimed that it has procured $100 million worth of components from India so far and suggested that the figure would increase after any tax concessions, the person said. Tesla also promised to make significant direct investments in sales, service and charging infrastructure, and to evaluate wider investments in manufacturing after entering the world’s second most populous country.
Musk has for several years shown a willingness to enter one of the world’s most promising automobile markets, but has complained that Indian regulations prevent him from testing the waters with first imports, as the high tariffs make Tesla cars “unbearable”. “Make.
.