Tesla is, once again, turning its focus towards India as the Musk-owned company resumes its search for a prime showroom location in New Delhi. As per sources cited in a reportby Reuters, the company has initiated early-stage talks with India’s largest real estate developer – DLF – to secure premium showroom space in the capital.
For now, no agreements have been finalized and alongside DLF, Tesla is reportedly in talks with other property developers as well. As per the report, the renowned car maker planning to establish a consumer experience center in a 3,000 to 5,000 square feet space. Interestingly, the company is also looking for a much larger area -approximately three times the size – for its delivery and service operations.
The report also suggests that Tesla is considering the possibility of building a showroom of about 8,000 square feet in Avenue Mall, Delhi. But as we said earlier, all these things are still in the initial stage only.
Tesla’s India Market Focus
We all know that Tesla’s interest in India is not new. At the beginning of this year, Elon Musk hinted at potential investments worth $2-3Bn during his meeting with Prime Minister Narendra Modi. But, the plan was postponed following Tesla’s global decision to cut 10% of its workforce due to declining sales.
The billionaire and Tesla CEO, Elon Musk has often expressed concerns about the high taxes imposed on importing cars into the Indian market. Currently, India’s electric vehicle (EV) market constitutes only 2% of total car sales. However, the government has set an ambitious goal to increase this share to 30% by 2030. In pursuit of this target, both central and state governments appear focused on promoting EVs through subsidies and infrastructure development.
Meanwhile, it is worth noting that Tesla’s renewed interest in the Indian market coincides with Musk’s Starlink – the satellite internet company – considering its own expansion in India.
