Tesla to consider local production in India on sales response
In reply to another user's comment, Tesla head Elon Musk has revealed on Twitter that Tesla will consider manufacturing its EVs in India if the CBUs it'll begin sales with are well received in the country. But Musk added a rider saying duties on EVs in India are the same as that for IC-engined vehicles. He hopes for at least a temporary relief in duties for electric vehicles before local production can begin here.
Tesla has been lobbying the Indian government for lowering the high duties on CBUs. The company is proposing a cut in duties from the current 60 to 100 per cent for CKDs and CBUs to 40 per cent for EVs. Concurrently, the EV maker is also in discussions with governments in Maharashtra and Karnataka to finalize its manufacturing site in India.
Tesla's first offering for India is likely to be the Tesla Model 3, the first test units of which have been brought into the country and have begun testing and homologation runs. The Model 3 is likely to launch in India by the end of 2021 through a limited number of company-owned outlets. Tesla is likely to follow its direct-to-customer sales model in India with cars being serviced at home or repairs conducted via a centralized company-operated service team.
Tesla will base its corporate operations out of Bangalore with a team already in place to oversee its launch in the country. The Tesla Model 3 Long Range has a 560km claimed range according to the WLTP cycle. It gets from 0 to 100 kmph in 4.8s. This time drops to 3.5s in the Performance version, which also gets 20-inch wheels, in place of the standard 18-inch or optional 19-inchers in the Long Range. The Performance version's range is 530km, both weigh 1,847kg. The Model 3 will come in as a CBU intially, bringing prices to approx. Rs 55-60 lakh, ex-showroom.
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