Latest news with #UnionHeavyIndustries
Indian Express
17-07-2025
- Automotive
- Indian Express
Elon Musk's India pitstop: ‘Make in India' is off the cards for now, but are Teslas going to be at least made for India?
Tesla's first retail showroom might be as good as it gets for India, given the hoops that the country's policymakers jumped to get the marque automobile brand here. A brand new policy was pushed through early last year, dubbed by the industry as the 'Tesla Policy' to effectively yield to what CEO Elon Musk was pushing for: easing imports into India without an explicit guarantee to Make in India. What makes it worse is that Tesla would be importing its Model Y saloon units from its Shanghai gigafactory in China, with no guidance on manufacturing in India. Tesla has no plans of starting production in India for the time being, Union Heavy Industries Minister H D Kumaraswamy had said last month. It is unclear whether Musk has given any further guidance to the Indian government on its manufacturing plans in India, but sources in the government indicate that there is nothing on that front. Navigating Indian roads There are also issues around whether the car would be tweaked in any way to better suit Indian conditions, which could be far more challenging than in most other countries where Tesla sells. Take full self driving (FSD) as an example, for which the company proposes to charge Rs 6 lakh extra, over and above its duty-laden price of Rs 59-68 lakhs – double the saloon's sticker price in the US. What is unclear is whether the company has examined if FSD would work in India's traffic conditions, and where the data from its Indian customers would be stored. In China, for instance, Musk has made multiple unannounced visits to Beijing discuss the rollout of FSD software and permission to transfer data overseas. Tesla has been offering FSD for subscription in China for over four years, but with a restricted set of features that limit the system to operations such as automated lane changing or parking assist. Since 2021, Tesla has stored all data collected by its Chinese fleet in the country, as required by the ciuntry's regulators, and has not transferred any data back to the US. Musk has been desperately lobbying for an exemption on this. In India, there is little clarity on what Tesla's terms of use of the data are. In the US too, auto safety regulators had opened an investigation into whether Tesla's recall in December 2023 of more than 2 million vehicles to install new 'Autopilot safeguards' was adequate following a series of crashes. 'The activation and use of these features are dependent on achieving reliability far in excess of human drivers as demonstrated by billions of miles of experience, as well as regulatory approval, which may take longer in some jurisdictions. As these self-driving features evolve, your car will be continuously upgraded through over-the-air software updates,' Tesla said on FSD. Then there is the hardware of the car itself. Despite its 19-inch alloys, whether the ground clearance of the Model Y would be enough to negotiate India's pothole ridden roads remains to be seen. The versions sold in other markets has a ground clearance of 167 mm, which is pretty low for a car that is really long (4,797 mm in length). There are more features that are out of sync with India's driving conditions. The version of the Model Y to be sold in India would have heated rear seats – definitely not a feature needed in Mumbai, or for that matter Delhi and Gurugram, the three places where the company hopes to retail its cars. The car has heated and cooled front seats. Add to that the fact that the full-glass roof of the Model Y with no inside cover to cut the sun off is unlikely to fare well against India's summer heat. The company plans to install 16 DC superchargers in Mumbai, but that could be inadequate even if they sell a moderate number of cars. The company will give home chargers with the car. It has adopted the direct route to sell in India, and not the franchisee route, as is the case in other markets too. China, global sales slumping The company's entry into India also comes at a time when it is struggling in China, one of its key markets. Tesla's vehicle sales in China dropped 18% year-over-year between January and May 2025, with key rivals like BYD seeing a surge, and newer rivals like Xiaomi launching cars that can match Tesla's capabilities at a lower price point. While India is expected to be a small sales market for the company, relatively, it is no surprise that it is looking to expand to the one of the world's biggest automotive markets in hopes of finding new buyers. A majority of Tesla's sales come from the US, with China contributing around 20%. In the recently concluded second quarter, Tesla's deliveries fell 13.5%, with the company seemingly headed towards a second year of shrinking sales, also dragged down by Musk's political affiliation. Besides, for many buyers, Tesla's lineup has become old, with no fresh model updates. Anil Sasi is National Business Editor with the Indian Express and writes on business and finance issues. He has worked with The Hindu Business Line and Business Standard and is an alumnus of Delhi University. ... Read More Soumyarendra Barik is Special Correspondent with The Indian Express and reports on the intersection of technology, policy and society. With over five years of newsroom experience, he has reported on issues of gig workers' rights, privacy, India's prevalent digital divide and a range of other policy interventions that impact big tech companies. He once also tailed a food delivery worker for over 12 hours to quantify the amount of money they make, and the pain they go through while doing so. In his free time, he likes to nerd about watches, Formula 1 and football. ... Read More
Indian Express
15-07-2025
- Automotive
- Indian Express
Tesla cruises into India, with Mumbai as first stop for its Model Y variant
ELON MUSK'S Tesla, the global electric vehicle (EV) giant, made its official entry into India Tuesday, launching its first showroom in Mumbai and showcasing its Model Y SUV. Inaugurating the showroom in Mumbai, Maharashtra Chief Minister Devendra Fadnavis said: 'This is not just the inauguration of an experience centre but a statement that Tesla has arrived, in the right city and state, that is Mumbai, Maharashtra. Mumbai stands for innovation and sustainability.' The entry marks a close to a long-winding, topsy-turvy journey around Tesla's touted entry in India's nascent and slowly growing EV market, after the company criticised India for having high import duties. The Model Y SUV will come in two variants: the standard rear-wheel drive option with a claimed range of 500 km, priced at close to Rs 60 lakh, and a long range version with a claimed range of 622 km, which would cost close to Rs 70 lakh. Deliveries are expected to begin from the final quarter of 2025. The car can be registered in Delhi, Gurugram and Mumbai. Tesla Model Y will also be able to be upgraded to full self-driving capabilities in the future, which would cost an extra Rs 6 lakh. 'The activation and use of these features are dependent on achieving reliability far in excess of human drivers as demonstrated by billions of miles of experience, as well as regulatory approval, which may take longer in some jurisdictions. As these self-driving features evolve, your car will be continuously upgraded through over-the-air software updates,' Tesla said. Incidentally, the car is twice as expensive in India compared to the US, where it costs around $38,000 (roughly Rs 33 lakh), owing to India's high import duty on completely built units (CBUs). Tesla has no plans of manufacturing in India for the time being, Union Heavy Industries Minister H D Kumaraswamy had said last month. The announcement of one of its models marks a close to the long-awaited entry of Tesla into India, after founder Elon Musk had criticised the country's high import duty structure. In 2021, responding to queries on social media about Tesla's launch in India, he had said, 'We want to do so, but import duties are the highest in the world by far of any large country!' Import duties in India for such cars can go as high as 110 per cent. In 2016, Musk had announced that pre-bookings for its Model 3 would be available for customers from many countries outside North America, including India. Soon, many customers in India put up a refundable deposit of $1,000 (approximately Rs 85,000 at current exchange rate). However, earlier this year, the company initiated refunds to those who had paid the reservation fee as the Model 3 has been discontinued. After receiving complaints about the high duty structure, the government last year released a new EV policy, easing duty for a limited number of imports for manufacturers setting up facilities here with a minimum investment of Rs 4,150 crore. This was largely seen as an attempt to woo Tesla. In turn, they will be eligible to import a maximum of 8,000 CBUs of electric four-wheelers per year, with a minimum import value of $35,000 at a reduced Customs duty of 15 per cent for a five-year period. The scheme is limited to global manufacturers with a revenue of at least Rs 10,000 crore per year, with fixed assets valued at a minimum of Rs 3,000 crore. Currently, the customs duty on cars imported as CBUs is either 60 per cent or 100 per cent, depending on engine size and whether the cost, insurance, and freight (CIF) value is higher or lower than $40,000. Where the car costs $40,000 or more, the duty is 100 per cent; a cheaper car attracts 60 per cent. In 2021, Tesla had written to nodal central ministries seeking a reduction in import duties on fully assembled cars and had asked for duties to be cut to 40-15 per cent depending on the price of the car. The new policy effectively fulfills that demand. The government said the scheme is intended to promote EV manufacturing in India, a sector that is expected to grow into a major category within the automobile sector in the coming years. India is currently the third largest automobile market and one of the fastest growing automotive markets in the world. The current market size of the automotive sector is Rs 12.5 lakh crore and the sector is expected to cross Rs 24.9 lakh crore by 2030. The automotive sector contributes over 7.1 per cent to India's GDP. However, despite easing the norms, Tesla has yet to show interest in making its cars in India. The company has massive assembly operations in China, which is a key market for Tesla. Last month, Kumaraswamy said Tesla was not interested in manufacturing in India but was looking at opening two stores. He, however, said global EV makers such as Mercedes-Benz, Volkswagen-Škoda, Hyundai and Kia have shown interest in applying under the ministry's flagship Scheme to Promote Manufacturing of Electric Passenger Cars in India, notified in March last year. Soumyarendra Barik is Special Correspondent with The Indian Express and reports on the intersection of technology, policy and society. With over five years of newsroom experience, he has reported on issues of gig workers' rights, privacy, India's prevalent digital divide and a range of other policy interventions that impact big tech companies. He once also tailed a food delivery worker for over 12 hours to quantify the amount of money they make, and the pain they go through while doing so. In his free time, he likes to nerd about watches, Formula 1 and football. ... Read More
India.com
12-07-2025
- Automotive
- India.com
Elon Musk's Tesla enters India, first showroom will open in..., THIS supercar will be launched on opening day
Elon Musk's Tesla enters India, first showroom will open in..., THIS supercar will be launched on opening day The wait is finally over for Tesla car lovers. Elon Musk's world famous electric car company Tesla is finally going to mark its presence in India. After long speculations and discussions, it is now clear that Tesla's first showroom will be opened in Mumbai on 15 July 2025. This will be Tesla's first experience center, where customers will be able to experience Tesla's luxury and high-performance electric cars. Where will be the showroom? According to sources, this Tesla showroom is opening in a 4000 square feet retail space located near Mumbai's Bandra Kurla Complex (BKC). This location is very close to Apple's flagship store, making this area a new hotspot for premium technology and automobile brands in India. Not just the showroom, Tesla has leased a space spread over 24,500 square feet in Kurla West area of Mumbai, which will work as a vehicle service center. The company has leased this space for 5 years, which includes a rent of about ₹ 37.5 lakh per month and a total expenditure of more than ₹ 25 crore. So far, four major locations of Tesla have been identified in India: * Engineering Hub – Pune * Registered Office – Bengaluru * Temporary Office – BKC, Mumbai * New Showroom and Service Center – Mumbai Which Tesla car will be launched? Although the company has not officially confirmed the launch model, industry experts believe that Tesla Model-3 and Model-Y can be launched first in India. Model-3 is Tesla's cheapest and most popular sedan, which has been a bestseller in the EV segment worldwide. Model-Y is a premium SUV, which is considered to be the best for Indian roads. No planning for manufacturing Currently, Tesla is only planning to import and sell its vehicles in India. Union Heavy Industries Minister H.D. Kumaraswamy has clarified that Tesla does not want to manufacture in India right now, it is only setting up sales and service network. What are expectations from the government's new EV policy? Recently, the central government has announced a new EV policy, which aims to attract global EV companies to invest in India. With this policy, it is expected that in the coming years, brands like Tesla will not only plan sales but also manufacturing in India.
New Indian Express
11-07-2025
- Automotive
- New Indian Express
Tesla confirms India entry, to launch first store in Mumbai on July 15
After years of playing hide and seek, American electric carmaker Tesla has finally confirmed India arrival with the launch of its first showroom opening in Mumbai on July 15. The first Tesla Experience Centre will be opening at Mumbai's Bandra Kurla Complex, followed by another store launch expected in the National Capital. As per sources, Tesla will start India operations by importing cars manufactured in its China facility. The company is reported to have imported a few Model Y cars from the Shanghai factory in China. The particular model carries a price tag of around Rs 28 lakh per and will attract an import duty of more than Rs 21 lakh, given that India attracts a 70% tariff on imported cars priced below USD 40,000. The final ex-showroom price of Model Y is expected to be about Rs 50 lakh. Last month, Tesla India took on lease 24,565 square feet warehousing space in Lodha Logistics Park in Mumbai for a period of five years. In June, Union Heavy Industries Minister H D Kumaraswamy stated that the Elon Musk-led company is not interested in manufacturing cars in India but keen on establishing showrooms in the country.
Mint
11-07-2025
- Business
- Mint
West Bengal gears up for rare earth mining in Purulia
Kolkata, Jul 11 (PTI) West Bengal is set to join India's rare earth mining map with the Geological Survey of India (GSI) conducting advanced exploration in Purulia district, a senior official said on Friday. Although the rare earth deposit in Purulia is relatively small, the development is significant as India looks to reduce dependence on imports of critical minerals essential for electric vehicles (EVs), electronics, and renewable energy technologies. "G2-level exploration is underway in two blocks - one in Karbi Anglong district of Assam and the other in Purulia, West Bengal," GSI Director General Asit Saha said on the sidelines of the Assocham-organised 3rd edition of Minerals and Mining conclave. He added that these blocks are expected to be ready for auction within a year. The G2 stage represents an advanced level of exploration, providing a fairly high degree of confidence in the resource estimation. Upon completion, the findings will be submitted to the respective state mines departments and the Union Ministry of Mines for further action, Saha said. While GSI has not identified specific rare earth elements in these locations yet, Saha said the deposits typically consist of a "basket of 14-17 rare earth minerals," making the extraction and processing technically challenging. He noted that India has discovered promising vanadium deposits - another critical mineral - in the lower Himalayan belt. "We have very good vanadium resources in the Himalayan region, which are essential for energy storage and alloy production," Saha said. According to him, nearly 50 per cent of ongoing early-stage exploration projects in the country are focused on rare earth elements, reflecting their growing strategic importance. However, operationalisation of mines faces challenges, including land acquisition issues, environmental clearances, and lack of private sector interest. Separately, Union Heavy Industries Minister H D Kumaraswamy on Friday announced that the central government will soon launch a ₹ 1,345 crore scheme to boost manufacture of rare earth magnets domestically. These magnets are critical components in electric motors used in EVs, wind turbines, and defence applications. India is also actively pursuing lithium exploration, with 20 projects spread across four to five states, officials said.
