The EV maker has been mulling the plan to set up business in India and start a manufacturing plant here
Tesla has been requesting Indian government for tariff cut, at least in the initial phase
Responding to that, the Indian government is planning to slash EV import rates to 15%
While the decision has not been finalised yet, it would offer all the EV makers to bring their CBU electric vehicles to India at lower cost
This would pave way for Tesla to officially set up business in India
Interestingly, this move comes on the heels of Tesla's decision to make its most affordable EV in Germany's Gigafactory
The most affordable Tesla EV was thought to be produced in India
Making it in Germany would be a jolt for India, as the country aims to become an automobile manufacturing hub globally
In that case, the tariff slash could be a desperate attempt from Indian government to lure Tesla to the country