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Tesla CEO Elon Musk is scheduled to fulfill Indian Prime Minister Narendra Modi in Latest York today during Modi’s visit to america, in accordance with two sources familiar with the situation.
Musk and Modi are expected to debate Tesla’s domestic ambitions, the establishment of a production base and possible incentives for battery production. Tesla talked about doing business in India up to nowbut to this point they’ve not reached an agreement there.
Tesla’s largest manufacturing base outside the US is in China, and it also operates a big plant outside of Berlin. In March, Tesla revealed plans to construct a factory in Mexico.
The meeting comes at a time when increasingly U.S. multinationals need to diversify outside of China and expand their supply chain reach. The Indian government also has ambitions to bring more electric vehicles to the country in an try and catch up with China and Europe. Tata Motors, Mahindra & Mahindra and Ola Electric are among the many top domestic electric vehicle players in India. While India is widely seen as a growing marketplace for the broader automotive industry, the International Energy Agency predicts that electric automobile sales are still a small a part of the worldwide market.
“In India and all regions outside the highest three EV markets, EV sales are expected to account for 2-3% of automobile sales in 2023, a comparatively small but growing share,” the IEA notes.