According to a post made on social media platform X on Tuesday, Indian Trade Minister Piyush Goyal announced that Tesla Inc., a maker of electric cars in the United States, intends to double the quantity of components it imports from India.
“Happy to witness the increasing significance of Indian auto component suppliers in the Tesla EV supply chain. After touring Tesla’s Fremont, California, production facility, Goyal said on X, then known as Twitter, “It is on its way to double its components imports from India.”
However, Goyal noted that during his visit to the plant, he was unable to meet Tesla CEO Elon Musk.
After purchasing $1 billion worth of components from India last year, he stated in September that Tesla planned to source components worth between $1.7 billion and $1.9 billion from the country this year.
According to Reuters last week, the minister’s travel to the United States was expected to involve talks with Musk over Tesla’s intentions to open an Indian factory, produce a $24,000 car there, source additional components, and build out the country’s charging infrastructure.
“I’m glad to see that Indian auto component suppliers are becoming more and more significant in the Tesla EV supply chain. It is en route to double its imports of Indian components. I hope Mr. Elon Musk makes a full recovery. I really missed his electrifying presence,” Goyal posted on social media site X.
The industry will continue to grow as a result of the rising demand for electric vehicles. Tesla is eligible to apply for assistance measures under current programs like PLI for auto and advanced chemical cells. The government had previously declared that it is not seeking to create a separate policy for offering incentives to the company.
The government has launched the production-linked incentives (PLI) schemes, worth Rs 18,100 crore for advanced chemistry cell (ACC) battery storage and Rs 26,058 crore for the auto, auto-components, and drone industries.
Goyal stated in September that “everything we have done has been done equally without any differentiation, without any preferences” in response to a question about whether the government is thinking about granting tariff cuts on fully built-up units to entice particular segments of electric automobiles into India. Everyone has equal access to opportunities thanks to this government. Thus, a policy will be released.”