Tata And Mahindra Will Not Let Tesla Takeover India: G20 Sherpa
The American electric automotive giant Tesla Inc., which is led by the billionaire Elon Musk, is gearing up to launch its dealerships in India. As a result, many experts have speculated that Tesla could take over the Indian electric vehicle market. However, recently, India's G20 Sherpa and former Niti Aayog CEO, Amitabh Kant, has stated that he believes Indian automakers like Tata and Mahindra will not let Tesla capture the Indian automotive market.
Mahindra and Tata will not let Tesla take over India
While speaking at Business Standard's flagship summit, Manthan, Amitabh Kant highlighted that Tata Motors and Mahindra & Mahindra, which have been in the electric vehicle market of India for some time now, are ready to take on Tesla. He emphasized that both of these legacy automakers will not let Tesla dominate the Indian EV market.
Kant, during the summit, indicated that the new electric vehicles from Tata Motors and Mahindra Automotive are priced very competitively. As a result, it will become extremely hard for Tesla to become successful in India. He, however, also highlighted that the Indian government needs to focus on how it can help the country become a global leader in EV manufacturing.
Indian government should lead the EV revolution
Presently, India has a strong export base in the two-wheeler and three-wheeler EV segments, Kant added. But he also mentioned that despite this, India needs to expedite its transition to electric vehicles on a nationwide scale. For this, he has urged the Indian government to set an example for EV adoption by adding more EVs to its own fleet.
He stated that the government should not purchase any fossil fuel cars. Instead, they should be the first driver of EV adoption to encourage mass transition. Kant also highlighted that, at the moment, there are a lot of restrictive regulations that do not help in enabling free enterprise growth. For this reason, India needs to eliminate a lot of existing rules, regulations, and procedures.
Kant also highlighted that, at the moment, there are excessive regulations in India. He stated that every regulator and department contributes to over-regulation. Due to this, he suggested that instead of just reducing regulations, they should be completely dismantled.
Tesla coming to India soon
Recently, Tesla Inc. has started posting a number of job openings for its dealerships in Mumbai and Delhi. This suggests that the American EV maker is looking to enter India in the coming few months. It has also been reported that the company could first bring in its most affordable model, the Tesla Model 3, in India.
There have also been reports suggesting that the company could develop an all-new affordable electric car, which could cost ₹21 lakh. However, at the moment, it does not look like Tesla is directing funds towards the development of such a vehicle. It was reported that Elon Musk axed the affordable electric vehicle project.
Once launched in India, Tesla cars will be competing with the likes of the Mahindra BE 6, XEV 9E, Tata Curvv EV, Nexon EV, and others. Additionally, Hyundai has also entered the affordable EV segment with its newly launched Creta Electric. Lastly, Maruti Suzuki will also be launching its electric SUV, the e-Vitara, next month.