Wednesday, September 1, 2021

Tesla may enter India with four different electric cars

Tesla is slowly but steadily moving towards its India debut. Four of the company’s cars have got a nod from the Indian Transport Ministry.

Since this certification is mandatory for any new vehicle -regardless of its origin, it confirms that all the four models offered by Tesla can be launched in India.

The identification of these variants is not known as of now. Also, this certification may not guarantee that the company will introduce all these cars in the country. It only ensures that the tested vehicles are roadworthy and meet all the regulations set by the relevant authorities.

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The leading electric car maker is eyeing an India launch for some time and is setting up operations in the country. It had recently hired top-level executives and even had been scouting for showroom cum experience centres in three Indian cities - New Delhi, Mumbai and Bengaluru.

In all probability, these four cars that have got regulatory approvals are variants of Tesla 3 and Y cars as these cars were recently spied testing camouflaged. The Model 3 comes in three variants: Standard Range Plus, Long Range, and Performance and it is expected that the Standard and the Long Range variants may get introduced in the country initially.

That said, the Tesla India launch may still have some hurdles that need to be cleared. While the Indian government is ready to offer extra subsidies to Tesla, Elon Musk recently tweeted his concerns about the high import duties. The company is said to be initially looking to import fully built units hence attracting extra charges which in turn will be passed on to the end consumers.

Analysis – Why is Tesla's India launch important for Indian consumers? 

Though the awareness of electric vehicles in India is increasing and we have brands like Ola - which has built a massive factory for electric vehicles and other startups that are making slow and steady progress. When it comes to electric cars, we have a handful of brands with battery-powered cars in the market.

Apart from Tata’s EVs most of the cars available in the Indian market are priced premium and even the cars from Tesla are expected to be priced in the north of Rs. 50 lakhs.  However, the introduction of Tesla in the country could give a booster shot to India’s EV dreams.

Not only will it help international brands consider India as a serious market for electric vehicles but Tesla setting up its manufacturing facility in India will help set up the supply chain and research facilities in the country. This will aid other manufacturers and will surely bring the costs of electric vehicles down in the long run.

Additionally, the arrival of Tesla will also mean that the charging infrastructure will improve since, unlike other carmakers, Tesla does not have any ICE-powered vehicles. This lack of charging infrastructure is probably the biggest reason why consumers are still hesitant in buying electric cars currently.

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