Leaders from Maharashtra, Punjab, West Bengal have joined hands with Telangana and have invited Elon Musk’s Tesla to set up shop in these states.
These states are under the leadership of parties other than BJP.
This news has come after the CEO of Tesla tweeted that the company is facing challenges about beginning operations in India.
Telangana, Maharashtra, Punjab, West Bengal Leaders Invite Tesla To Their States
As per state water resources minister Jayant Patil, “Maharashtra is one of the most progressive states in India. We will provide you all the necessary help from Maharashtra for you to get established in India. We invite you to establish your Maharashtra.”
He was responding to Musk’s tweet.
In addition, Punjab MLA and state Congress committee president Navjot Singh Sidhu has also tweeted, “Punjab model will create Ludhiana as a hub for electric vehicles & battery industry with time-bound single-window clearance for investment that brings new technology to Punjab, create green jobs, walking path of environment preservation & sustainable development.”
West Bengal Minister-in-charge of minority affairs and Madrasah education Md Ghulam Rabbani chimed in too, stating that West Bengal had the best infrastructure and chief Mamata Banerjee has “the vision.”
We recently reported to you that in the midst of an ongoing rift between Tesla and the Indian government regarding doing business in India, Telangana has thrown its hat in the ring.
Tesla’s Elon Musk had responded to a Twitter query regarding its entry into the Indian market to which he said that they are “still working through a lot of challenges with the government.”
Tesla’s Challenges
The challenges he was referring to is the resistance by the government to reduce import duties on EVs. He said that the duties are the “highest in the world by far of any large country.”
The government fired back by saying that Tesla wants import duties to be reduced so that it can sell in India without committing to local production.
India currently charges customs duty between 60% to 100% on imported cars. 100% duty is imposed on fully imported cars with CIF (Cost, Insurance and Freight) value over $40,000. 60% duty is imposed on cars costing less than that amount.
This means that there is only one car from its lineup that Tesla can sell in India without incurring 100% duty- the Model 3 Standard Range Plus- which is priced below $40,000.
On Indian roads, it would cost roughly around Rs 70 lakh. Therefore, it is key for Tesla to get the government’s approval of its proposal if it wants to make its cars affordable in the country.
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