Tesla in talks with Reliance for rolling out manufacturing JV in India

Tesla is actively pursuing a local partner to establish operations in India. Reports suggest that discussions are underway between the American electric vehicle manufacturer: Tesla and Reliance Industries Limited (RIL) regarding a potential joint venture to establish a manufacturing facility in the country.

An insider familiar with the situation revealed that these discussions have been ongoing for more than a month. However, the source stressed that this should not be interpreted as RIL’s foray into the automotive sector. Instead, RIL aims to enhance India’s electric vehicle capabilities through this partnership.

Another source, privy to the negotiations, indicated that although the specifics of RIL’s involvement are yet to be finalized, the conglomerate is expected to play a significant role in establishing the manufacturing unit and supportive ecosystem for Tesla in India. This development follows RIL’s recent ventures in electric vehicles, including the launch of India’s first hydrogen internal combustion engine-powered heavy-duty truck in collaboration with Ashok Leyland in 2023 and the introduction of removable and swappable EV batteries last year.

It is estimated that Tesla has allocated $2 billion for its upcoming initiatives in India. The company is exploring various potential locations for the manufacturing plant, including Gujarat and Maharashtra. However, Maharashtra appears to be gaining momentum as the preferred choice due to its proximity to port facilities, which are crucial for both domestic operations and exports, as revealed by insiders.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest Articles

Sign Up for CXO Digital Pulse Newsletters

Sign Up for CXO Digital Pulse Newsletters to Download the Research Report

Sign Up for CXO Digital Pulse Newsletters to Download the Coffee Table Book

Sign Up for CXO Digital Pulse Newsletters to Download the Vision 2023 Research Report

Download 8 Key Insights for Manufacturing for 2023 Report

Sign Up for CISO Handbook 2023

Download India’s Cybersecurity Outlook 2023 Report