India’s Union Minister Nitin Gadkari on Friday asked Tesla not to sell China-made vehicles in India. He asked Tesla to make iconic electric vehicles in India.
He also urged Elon Musk’s US-Tesla to export automobiles made in India.
Speaking with the ‘India Today Conclave 2021’, Minister Gadkari assured that India will provide all support to the company.
Addressing the event, Gadkari further said electric cars manufactured by Tata Motors are not less good than electric cars manufactured by Tesla.
Tesla has requested that import taxes on electric cars (EVs) be reduced in India.
Tesla has urged the government to standardize EV pricing and remove the social welfare surcharge placed on them, claiming that it would help the country’s EV ecosystem without jeopardizing local interests.
Gadkari stated that he was in discussions with Tesla executives over the company’s desire for tax breaks.
Last month, the Union minister demanded that Tesla begin manufacturing in India before any tax breaks could be considered.
The Indian government imposes a 100% import tariff on vehicles, whereas fully built units (CBUs) are subject to a customs duty ranging from 60% to 100%, depending on engine size and cost, insurance, and freight (CIF) value less or greater than $40,000.
The taxes are intended to safeguard domestic producers, and despite Musk’s open appeal, the government’s stance has remained unaltered thus far.
(With inputs from agencies)
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