Tesla restarts scouting for showroom space in Delhi

Tesla has restarted its search for a showroom in New Delhi, according to Reuters. This development marks a rethinking of its India entry after putting investment plans on the backburner earlier this year.

1. Tesla is assessing options with DLF for showroom space
2. Locations in South Delhi and Gurugram are being evaluated
3. Tesla Starlink is likely to enter India soon

Tesla in discussions with DLF for showroom space

According to Reuters, Tesla is in nascent discussions with DLF to get space in Delhi. The American EV brand is looking for a space of around 3,000 to 5,000 square feet in order to establish a consumer experience center. Additionally, it is looking for another space that is thrice its size for operations and delivery.

Tesla is assessing several options, including DLF's Avenue Mall in South Delhi, as well as a retail complex and the Cyber Hub office in Gurugram. Earlier this year, Musk said that he would meet Prime Minister Narendra Modi, where he was slated to announce a USD 2-3 billion investment in the country. The Tesla chief, however, called off his visit at the last moment after the company decided to let go of 10 percent of its staff on the back of declining sales.

No clarity yet on Tesla’s India plans

Tesla's search is 'exploratory', and nothing has been firmed up, the first person in the know said. There is no clarity at the moment as to whether the American EV maker will look at importing cars at a 100 percent tax rate or make investment commitments under India's new policy, enabling it to import certain electric vehicles at a reduced rate of 15 percent, the newswire noted.

After Tesla backed out of its earlier investment plans, the Indian government is looking at easing some provisions in the policy, which has sparked interest from the likes of Toyota and Hyundai Motor.

Tesla's search for showroom space in Delhi comes as Musk-owned Starlink mulls entering the Indian market, Reuters noted.

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