Moneycontrol

Budget 2023Budget 2023
Upcoming Event : LeapToUnicorn - mentoring, networking and fundraising for startups. Register now
you are here: HomeNewsBusiness

Can Tesla jumpstart India's electric vehicle revolution?

The hope is that Tesla will do for the Indian EV market what Apple did for smartphones, or McDonalds did for the simple burger — disrupt it or impact it enough so that other brands are pushed to make better and cheaper electric vehicles

January 30, 2021 / 08:26 AM IST

Fourteen years after its launch in the United States, the world’s most valuable carmaker finally entered India this month, and registered its subsidiary in Bengaluru. Tesla had been contemplating entering the Indian market for a while, with its founder Elon Musk having even tweeted about it in 2018, citing India’s challenging regulatory regime as a reason for refraining to do so.

At present, the company seems to be scoping out the Indian market — planning to sell a made-in-China version of its iconic, eco-friendly car, and if demand picks up, to establish a manufacturing unit in India. It’s already in talks with five state governments — Maharashtra, Gujarat, Andhra Pradesh, Karnataka and Tamil Nadu — for setting it up, if things go according to plan.

This has sparked excitement and jubilation from enthusiasts and experts alike, many of whom believe Tesla to be just the shot in the arm India’s ailing clean mobility sector needs for its revival. This begs the question — Can Tesla really kickstart India’s EV revolution?

Challenges Galore