Tamil Nadu goes all out to woo and wow Tesla for its first India EV plant

Tamil Nadu is already home to several global car brands like BMW, Hyundai, Nissan and Renault. The state now wants to also be the EV capital of the co
File photo of Tesla logo. Image has been used for representational purpose. (REUTERS)
File photo of Tesla logo. Image has been used for representational purpose.

The state government of Tamil Nadu is pulling all plugs to attract Tesla for its first-ever electric vehicle (EV) manufacturing facility in the country. The American EV giant is all set for its India debut and is learnt to be scouting for a site here to establish a plant that would eventually role out cars for the domestic as well as export markets.

Even as Tesla CEO Elon Musk gets set to meet Prime Minister Narendra Modi during his India visit later this month, various state governments have begun preparations to attract Tesla investments which would be to the tune of $3 billion. Tamil Nadu does not want to be left behind. When asked by reporters about Tesla looking to build an India plant, state minister for industries - T. R. B Rajaa, explained that efforts are on to establish Tamil Nadu as a hub for EV manufacturing. "Tamil Nadu will be pitching for all opportunities of electric vehicle manufacturing from all global car majors," he was quoted as saying by Bloomberg.

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Tamil Nadu is often referred to as the 'Detroit of India' because it is home to several automobile manufacturers - from BMW, Hyundai, Nissan and Renault to a slew of two-wheeler makers as well. Rajaa further said that his state has the ‘best EV policy and ecosystem.’

One Tesla, many suitors

A number of states have expressed a keen desire to invite Tesla and offer incentives for the company to establish a plant. While Tamil Nadu hopes it finds favour, states like Gujarat, Maharashtra, Karnataka and Telangana are also in the race.

A Tesla facility is known to create thousands of jobs and contributes to revenue generation processes. It is not only in India that the company plant is sought after but the world over as well. Even in the US, states entered into a tussle to attract Tesla when the company wanted to open a new plant and shift its headquarter out of California. Texas eventually won the race and the plant and headquarter was established just outside of Houston.

Here in India, the company is reportedly in talks with Reliance to help it establish a plant and create a support ecosystem even though neither of the two companies have commented on this.

First Published Date: 12 Apr 2024, 13:07 PM IST

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