How will Tesla’s future in India change now that Elon Musk is skipping the Vibrant Gujarat Summit?

Elon Musk will not be present at the Vibrant Gujarat Global Summit 2024, as government officials confirmed amid intense speculation that the company may announce the opening of a new Tesla facility in Gujarat.

Elon Musk, founder of Tesla, is welcome to make investments in Gujarat, but he will not be attending the Vibrant Gujarat Summit, according to Rahul Gupta, Managing Director of the Gujarat Industrial Development Corporation, who made this confirmation on Wednesday.

Musk is not expected to appear, an official from the state administration said PTI. Would he not come to the first meeting if he were to appear? Will he be present at the seminars on the second and three days?”

With the Gujarat state administration stating in December that they are “very hopeful” that Tesla will establish an office in the state amid the expanding electric vehicle industry, there were many rumors that Musk might visit India in January.

Officials from the Gujarat government have stated that Musk is considering Gujarat as his “first choice” for Tesla’s entry into the Indian market. around December, Rushikesh Patel, the spokesperson for the government, stated, “Gujarat has been on his mind ever since he began a survey in India to find a suitable location to set up the plant.”

What does Tesla have planned for India?

The founder and CEO of Tesla, the largest electric car manufacturer in the world, Elon Musk, announced last year that he was going to India in 2024, most likely to grow his firms’ operations there.

The Times of India cited sources stating that Tesla is in talks with the Center to investigate the possibility of opening a facility in Gujarat shortly. Gujarat has been leading the way in establishing a Tesla facility, particularly now that it’s become a car hub for companies like Ford, Suzuki, and Tata.

During Prime Minister Narendra Modi’s June 2023 visit to the United States, Elon Musk met with him to propose the establishment of an electric car factory in India. Additionally, Tesla had previously discussed spending up to $2 billion to establish an electric vehicle facility in India.

The primary barrier to a possible collaboration between Tesla and the Indian government is the company’s demand for a 15% to 20% reduction in automobile import taxes for the first two years of the agreement.