Latest news with #SchemetoPromoteManufacturingofElectricPassengerCarsin
NDTV
3 days ago
- Automotive
- NDTV
Elon Musk's Tesla "Not Interested" In Manufacturing In India: Minister
New Delhi: Tesla, the Elon Musk-owned electric vehicle giant, is not interested in manufacturing in India and is keen on opening showrooms, Union Minister for Heavy Industries HD Kumaraswamy said on Monday. The remarks came amid the government's push to promote domestic manufacture of passenger cars, with a special focus on electric vehicles (EVs). " are only to start showrooms. They are not interested in manufacturing in India," the minister said. Heavy Industry Secretary Kamran Rizvi, however, added, "The real intent we'll know when we open the application". "If the company still feels like investing. What the minister is telling is about what come and tell informally," he said. The minister added that many European companies like Hyundai, Mercedes Benz, Skoda and Kia have shown interest in manufacturing units in India under the new EV policy. Earlier, there were reports that Tesla was interested in importing Tesla cars into India and subsequently selling them through their showrooms in India. Tesla boss Musk had in the past indicated that he was interested in investing in India, but "high import duty" structures were a bone of contention. Tesla's intention to come into India had intensified after India announced its new EV policy, under which import duty was reduced to 15 per cent and many incentives were provided for setting up a manufacturing plant in India. Meanwhile, Elon Musk's father, Errol Musk, who is in India, appeared keen on Tesla's presence in the country. "That is something that I have to be careful not to say too much about. Tesla is a public company. It's not you look at India and the population, the kind of people you've got here, the energy and everything and when I hear that, with great respect, BYD and various others are coming in, and Tatas and Mahindra are making great cars, I'm very inclined to say, wait, why aren't we having Teslas here. But I can't say too much. That's just a personal point of view," he said. He was answering a query about plans for Tesla's presence in India. The central government on Monday notified guidelines for the Scheme to Promote Manufacturing of Electric Passenger Cars in India. The central government approved a forward-looking scheme to promote the domestic manufacture of passenger cars, with a special focus on electric vehicles (EVs). The initiative is aligned with India's national goals of achieving net zero by 2070, fostering sustainable mobility, driving economic growth, and reducing environmental impact. It is designed to firmly establish India as a premier global destination for automotive manufacturing and innovation. Ministry of Heavy Industries (MHI) has issued a notification regarding detailed guidelines for the "Scheme to Promote Manufacturing of Electric Passenger Cars in India" (SPMEPCI / the Scheme)MHI had issued the Scheme notification on March 15 2024. The Department of Revenue also issued the notification on March 15, 2024, for reduced import duties in line with the provisions of the scheme. The notice for inviting applications under the Scheme is proposed to be notified shortly, whereby the prospective applicants would be able to submit online applications. The scheme shall help to attract investments from global EV manufacturers and promote India as a manufacturing destination for e-vehicles. The Scheme will also help put India on the global map for manufacturing of EVs, generate employment and achieve the goal of "Make in India". To encourage the global manufacturers to invest under the Scheme, the approved applicants will be allowed to import Completely Built-in Units (CBUs) of e-4W with a minimum CIF value of USD 35,000 at reduced customs duty of 15% for a period of 5 years from the Application Approval Date. Approved applicants would be required to make a minimum investment of Rs 4,150 crore in line with the provisions of the scheme.
Time of India
4 days ago
- Automotive
- Time of India
VinFast's $2 bn Tamil Nadu EV plant misses out on lucrative incentive scheme, must invest Rs 4,150 cr more to qualify
The USD 2 billion (Rs 16,000 crore) investment by Vietnam-based electric vehicle manufacturer VinFast in Tamil Nadu will not qualify for availing benefits under the Scheme to Promote Manufacturing of Electric Passenger Cars in India, officials said on Monday. Officials explained that under the scheme, eligible investment must be capitalized in the books of account of the applicant "after the date of approval", therefore, equipment and machinery "must be put to use after becoming an approved applicant". The window for applying under the scheme will be opened in a couple of weeks for 120 days or more. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Discover How To Craft High-Quality Writing Faster (Learn How) Grammarly Undo VinFast, the electric vehicle (EV) unit of Vingroup , is setting up a USD 2-billion plant in Tamil Nadu's Thoothukudi, and is also in discussions with Andhra Pradesh and Telangana governments to expand its operations in India. Also read: Asian underdog & global biggies hit accelerator when Musk dodges desi market challenge Live Events The company is eyeing a launch in India with its VF7 and VF6 models before the festival season this year and aims to push up annual production in the country to 1,50,000 EVs in the coming years to be able to export them to countries in the Middle East and Africa. "They (Vinfast) have already capitalised the investment so they will not qualify based on that investment for benefits under the scheme. They (Vinfast) will have to make a fresh investment of Rs 4,150 crore to qualify under the scheme. They are urging us to consider the investment already made, which we cannot accept," an official told PTI. The guidelines under the scheme to Promote Manufacturing of Electric Passenger Cars in India were announced on Monday, whereby approved applicants will be allowed to import Completely Built-in Units (CBUs) of e-4W with a minimum CIF value of USD 35,000 at reduced customs duty of 15 per cent for a period of 5 years from the Application Approval Date . Also read: Tesla not interested in manufacturing in India, minister says The approved applicants would be required to make a minimum investment of Rs 4,150 crore in line with the provisions of the scheme. The Scheme to Promote Manufacturing of Electric Passenger Cars in India was notified on March 15, 2024.
