Berlin, April 4 – Tesla has started production of right-hand drive electric vehicles at its factory in Germany for export to India. This decision follows the approved resolution of the VVS Board of Directors and Supervisory Board.
According to sources, the American company plans to invest approximately $2 billion (€1.85 billion) in a factory in India, which is the third-largest automotive market in the world. The Indian government last month reduced the import duty rate on electric vehicles if their producers invest at least $500 million in the country. It is not yet clear which model Tesla plans to export to India.
Tesla declined to comment on the media reports. The production of right-hand drive vehicles for Tesla has so far been handled by its factory in Shanghai. The company is trying to gain a foothold in India at a time when it is facing declining demand in its main markets in the US and China. The Indian electric vehicle market is dominated by the local company Tata Motors.
Tesla’s entry into the Indian market is part of its global expansion strategy. The company is trying to gain a share of the growing electric vehicle market in India. It will be interesting to see which model Tesla eventually exports to India and how it will compete with local players.
Additional Information:
- Tesla Gigafactory Berlin-Brandenburg was officially opened in March 2022.
- The Model Y is currently being produced at this factory.
- The Model Y is a crossover SUV available in two versions: Long Range and Performance.
- The price of the Model Y in India is estimated to be around $50,000.
- The Indian electric vehicle market is growing rapidly. In 2023, approximately 4,000 electric vehicles were sold in India.
- The Indian electric vehicle market is expected to reach 100,000 units sold annually by 2030.
Sources: Reuters, Electrek
