Electric car maker Tesla’s founder and Chief Executive Officer Elon Musk on Monday hinted at a possible delay in the Silicon Valley firm’s entry into India. Replying to a query about the product’s launch in India, Musk said, “Maybe I am misinformed, but I was told that 30% of parts must be locally sourced and the supply does not yet exist in India to support that.”
In February, Musk had said he was hoping for a summer launch. The company had allowed pre-bookings for its relatively affordable Model 3 sedan in April 2016. Priced at $35,000 (approximately Rs 22 lakh) the Model 3 sedan is scheduled to be released in India by the end of 2017 or early 2018.
Technology sector stakeholders Vishal Gondal, Vijay Shekhar Sharma, Mahesh Murthy and Vani Kola have shown interest in establishing the company’s presence in India, Business Standard reported.
While the Centre had announced its goal of transitioning to electric transport by 2030, it has also insisted on local sourcing of vehicle components, which is proving to be a challenge for firms like Tesla. The automotive sector in India is currently worth $74 billion (around Rs 4.9 lakh crore), The Economic Times had reported. Tesla’s electric car will also up the competition and force existing manufacturers to come up with more electric vehicles.