Tesla Executives Set To Discuss Local Sourcing With Indian Government

Senior executives of electric carmaker Tesla are reportedly set to meet Indian government officials to explore the sourcing of parts from the country and other issues.

What Happened? C-suite executives and managers from the firm’s supply chain, production, and business development teams will meet government officials on Wednesday and Thursday, people familiar with the matter told Bloomberg.

The executives are also likely to request that the Indian government cut steep import taxes on its vehicles, the sources said.

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It was previously reported that the Indian government wanted Tesla to commit to sourcing auto components worth at least $500 million for the country to consider a reduction in import taxes.

U-Turn Ahead? The talks could signal a major turning point in the relationship between Tesla and the Indian government as the EV giant looks to look for markets beyond China. The government instructed the US firm not to sell cars made in China within India after CEO Elon Musk slammed India’s high import taxes and its policies related to electric vehicles.

Musk had also previously said that the company will not set up manufacturing units in a country where it is not first allowed to sell and service cars.

Meanwhile, Apple has also been making moves to shift a part of its global smartphone manufacturing to India, with Tata Group to manufacture the iPhone 15 and iPhone 15 Plus models in India.

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