Tesla's India Entry Not Happening Anytime Soon

In February 2017, in a tweet, Elon Musk suggested that the Tesla is coming to India. Musk stated that the company would hopefully make its way to India by the end of this year. It was followed by one more tweet, where Musk said that company would enter India before the production of Model 3 commences.

But the production of the Model 3 has already started in America. But the latest tweet from Musk is not good news for the Indian automobile market.

Replying to a query on Twitter, Musk said, "Maybe I'm misinformed, but I was told that 30% of parts must be locally sourced and the supply doesn't yet exist in India to support that."

Now the tweet from Musk will leave us with a big question whether Tesla will enter the Indian market in the next two years or not. But he also mentions the localisation of parts, so Tesla might also be planning to assemble cars in India.

It was expected that Tesla would debut at the 2018 Delhi Auto Expo and launch the cars later that year. India is a rapidly growing automobile industry which drew the attention of Musk.

The electric car segment in India has not grown compared to the conventional cars. Currently, we have only two electric cars, Mahindra e2O and the Mahindra Verito. So, Tesla might be waiting for the right time to make its way to India.