- Tuesday, February 25, 2025
The state government has reportedly given the US company three choices of sites to set up its plant.
By: Shubham Ghosh
AMERICAN electric vehicle (EV) maker Tesla is set to establish its manufacturing plant in the western Indian state of Gujarat and an official announcement about it is expected to happen during the Vibrant Gujarat Global Summit (VGGS) in January. Tesla chief Elon Musk is also likely to be present on the occasion.
According to a report by Ahmedabad Mirror, the government of the state has given the US company three choices of sites — Sanand, Becharaji and Dholera — for setting up the plant.
Tesla has been in talks with India’s Narendra Modi government over setting up a plant in India. It has sought concessions to facilitate its smooth entry into the Indian market. There have also been talks over easing regulatory hurdles and ensuring a favourable business environment for the company’s operations in the South Asian nation, seen as one of the fastest growing economies in the world.
Read: India minister meets Elon Musk in UK, says Tesla chief’s son shares name with Indian Nobel winner
Gujarat, home town of prime minister Modi, already houses a number of manufacturing facilities of top car-makers such as Maruti Suzuki, Tata and Morris Garage. Facilities of other manufacturers such as Ford and GM in Gujarat have been acquired by the likes of Tata and MG, respectively.
Rushikesh Patel, a cabinet minister of Gujarat, said the state’s Bharatiya Janata Party government was “very hopeful” that Tesla will pick the state for its plant.
Read: Tesla coming to India as soon as…, says Elon Musk after meeting Modi in US
“The state government is very hopeful of Tesla coming to Gujarat. Even Elon Musk is looking at Gujarat as his first choice. Gujarat has been in his mind ever since he began a survey in India to find a suitable location to set up the plant,” Patel, who is Gujarat’s health minister and spokesperson of the state government, was quoted as saying by the Mirror.
“Perhaps, very soon, an official announcement will be made in this regard (Tesla’s entry). Let us hope Tesla comes to Gujarat. We will definitely welcome it and provide all necessary support, just like we gave Tata, Ford and Suzuki in the past,” he told reporters in Gandhinagar, the state capital.
It may be mentioned here that Musk met Modi during the latter’s state visit to the US in June this year. After the meeting, he had said that he has plans to visit India in 2024.
Indian commerce and industry minister Piyush Goyal, who also visited Tesla’s manufacturing facility in California last month but failed to meet Musk owing to the entrepreneur’s ill health, said recently that the American company is looking to source components worth around $1.9 billion from India this year against $1 billion in the previous one.
The VGGS, which was started by Modi during his stint as the chief minister of Gujarat in 2003, will have its 10th edition staged between January 10 and 12. It will also celebrate two decades of its success.
