June 2, 2025 - Tesla may choose to open showrooms in major Indian cities and sell cars via the CBU route instead of establishing a manufacturing plant. Union Minister HD Kumaraswamy stated Tesla isn't interested in manufacturing in India but wants showrooms.
This follows the government's amended EV policy to attract foreign investment. Heavy Industry Secretary Kamran Rizvi noted there's no official communication from Tesla yet.
Other companies like Hyundai, Mercedes-Benz, Skoda, and Kia have shown interest in setting up manufacturing units under the new EV policy. Tesla's interest in India intensified after the government reduced import duties to 15% for manufacturers.
Elon Musk's father, Errol Musk, expressed his desire for Tesla's presence in India. The Indian government has notified guidelines to promote EV manufacturing, aiming for net-zero emissions by 2070.