Tesla requests government for import duty exemption to launch in India

  • Tesla requests government for import duty exemption to launch in India

Tesla requests government for import duty exemption to launch in India

Tesla had even started taking pre-orders from customers for their Model 3 sedan in April 2016.

But back to the Model Y and the little we know about it, there is a slight chance the Semi unveiling this September will change that.

Tesla's new India plans come almost a month after Musk tweeted that he might be unable to sell in the country because of its "Make in India" push, which requires foreign companies to source at least 30% of their products locally. Tesla, considered to be the Apple of electric cars, and in every electric vehicle (EV) owner's wish-list, has finally cleared many questions in the Indian passenger vehicle market.

In a response to a recent tweet asking about an update on the launch date in India, Musk responded that Tesla is now in talks with the Indian Government for 'temporary relief on import penalties/restrictions until a local factory is built'.

Tesla might find common ground with the Indian government as it is now on a mission to make India a fully electric country by 2030.

At present, India imposes 60 percent customs duty on import of completely-built electric cars priced less than USA $40,000.

Import duty of cars in India is as high as 125%. The Government of India has already announced its plans of phasing out petrol and diesel cars by 2030 and this is very ambitious, as also hard. The import duty for CKD's is around 25 to 40% in India. Musk had then met Prime Minister Narendra Modi as well.

Tesla recently revealed through a side-by-side Model 3 vs. Model S comparison sheet that its upcoming mass market electric sedan will have 14 cubic feet of cargo space, or less than half the size of the cavernous Model S cargo space that's capable of storing a full-sized bike.

Electric cars are gaining momentum all over the world due to alarming pollution levels and depletion of traditional fossil fuels such as petrol and diesel. For example - the Mahindra e2o offers a running cost of just 70 paise per km. Apparently, the new Roadster will be setting a new benchmark in the quest to prove electric cars are faster than hypercars, hitting 60 miles per hour (96 kilometers per hour) in under two seconds.