Leading car manufacturers Skoda-Volkswagen and Mercedes have announced plans to start manufacturing electric cars in India. Under their Make-in-India strategy, these companies are preparing to make significant investments in the country. The Ministry of Heavy Industries will provide incentives to these companies to promote domestic manufacturing of electric passenger vehicles.
This announcement comes at a time when the government is focusing heavily on electric vehicles (EVs) and emphasizing the promotion of domestic manufacturing of passenger cars. New guidelines were released by the government last Monday to support this initiative.
While Skoda-Volkswagen and Mercedes plan to manufacture electric cars in India, there is notable news regarding Tesla, the American electric car company led by Elon Musk. Responding to questions about Tesla’s manufacturing plant in India, Union Minister of Heavy Industries H.D. Kumaraswamy stated, “Tesla is only planning to open showrooms. They are not interested in manufacturing cars in India.” However, Heavy Industries Secretary Kamran Rizvi commented, “We will know their real intent when we open applications.”
This development highlights the growing focus of global automakers on India’s electric vehicle market, alongside the government’s push for expanding local EV production.
