Elon Musk wants to sell Tesla Inc in India in early 2019.
Three years later, Pioneer US electric vehicles are not too close.
“Still working through many challenges with the government,” Musk said in a twitter post Thursday morning in Asia, replying to users who asked whether there was an update about the launch of Tesla in the South Asian country.
Tesla’s CEO Government and Administration of Prime Minister Narendra Narendra have spoken for years, but disagreement over local factories and 100% state import duties have caused deadlock.
The government has asked EV makers to increase local procurement and share detailed manufacturing plans; Musk has demanded a lower tax so that Tesla can start by selling imported vehicles at a cheaper price in a budget conscious market.
In October, a Minister of India said he had asked Tesla to avoid selling cars made in China in the country, and urged car makers to produce, sell and export vehicles from local factories.
India, with a comparable population with China, is a very promising market for EV makers, but the country’s streets are still dominated by cheap cars, no frills made by the local unit of Suzuki Motor Corp and Hyundai Motor Co..
Tesla will also face competition from other foreign players, including Mercedes-Benz, which announced Wednesday will launch EQS collected locally – a reliable version of S class sedan – in India in the fourth quarter.