Tesla lobbies India for sharply lower import taxes on electric vehicles

Making inroads: Tesla vehicles at charging stations outside a store in California. Tesla is likely to set up a factory in India if successful with imported vehicles. ― Bloomberg

NEW DELHI: Tesla Inc is likely to set up a factory in India if successful with imported vehicles, chief executive Elon Musk said on Twitter, after the company wrote to Indian ministries seeking a big reduction in import duties on electric vehicles (EVs), according to two sources with knowledge of the matter.

The electric-car maker’s pitch to lower duties, however, is likely to face resistance from Prime Minister Narendra Modi’s administration which has championed high import taxes for many industries in a bid to boost local manufacturing.