Telsa chief says India’s clean energy policy is ‘inconsistent with its climate goals’

The Pluralist
New Delhi, July 25, 2021
Telsa Chief Executive Elon Musk has criticised India’s policy for clean energy, saying it is inconsistent with its environment goals.
Replying to a question asked by a Twitter user, Musk said, “Clean energy vehicles are treated the same as diesel or petrol (vehicles) which does not seem entirely consistent with the climate goals of India.”
Import duties in India are “the highest in the world” and is hoping for “at least a temporary tariff relief for electric vehicles”, he said while interacting with Twitter users.
The prohibitive tariff has put a speed bump on Telsa’s plans to export electric cars to India.
India imposes 100 per cent import duty on foreign cars imported with CIF (Cost, Insurance and Freight) priced more than $40,000 and 60 per cent on those costing less than $40,000.
On a positive note, Musk told the Twitter user, “We are hopeful there will be at least a temporary tariff relief for electric vehicles. That would be much appreciated.”
Asked by a follower if Tesla could start with local assembly in India, Musk said, “If Tesla is able to succeed with imported vehicles, then a factory in India is quite likely.”
An unconfirmed newspaper report claimed ‘a senior government official saying last Friday that Tesla had asked for reduction in import duty’.
Electric car maker Tesla currently sources automobile components from Indian companies. Setting up base here would be economically viable for it, federal road transport and highways minister Nitin Gadkari had said.
Earlier in February this year, an official had claimed that Tesla would set up its manufacturing plant in Karnataka state.
Tesla India Motors and Energy is a private limited company registered with the Registrar of Companies, Bengaluru. Set up on January 8, 2021 with a share capital of Rs 500 million and Rs 150 million paid-up capital, the company is classified as a private subsidiary of a foreign company.