The EV movement appears to be broadly reaching the Indian shores, with greater intensity. After clearing the way for better accommodation of EV manufacturing, major global forces in the EV market are looking east, to India.
Tata-Tesla Jugalbandi
Tesla, arguably one of the most consequential players in the business has upped its efforts to set up its much talked about manufacturing plant in India.
In pursuance to report from Indian publication, Economic Times, Tesla has agreed upon on deal with Indian behemoth Tata for making semiconductor chips for the former, globally. Tata's subsidiary, Tata Electronics is said to have entered into an understanding with the American company.
This comes at the back of another development, when the carmaker dispatched a tranche of its associates to India, to visit the potential site for a future plant. The team is said to have visited the state of Gujarat for the same.
Apart from discoveries of precious metal like vanadium within the Indian territories in the past year, the drive of the market is making the inclination towards an Indian alternative more compelling, while facing stiff competition from a much more well-oriented China.
Tata itself has forayed into the world of advanced tech, with its upcoming semiconductor manufacturing plant in Gujarat's Dholera.
Getty Images
Tata's Mission 2026
In addition, the group has claimed that it aims to commence commercial production of semiconductor chips at its two plants, located in Gujarat and Assam, by 2026.
Tesla itself would like to solidify its position in the market, this as the company reported its worst car sales numbers in years, more specifically since the pandemic. Despite that, the company regained its top spot for sales in the EV game, as its chief rival, China's BYD, also saw a drop in its numbers, indicating a general drop in the demand for electric wagons.
However, this new development, is expected to create jobs in the Indian market, in the time to come.
Tesla shares ended the day's trade on 12 April in red, dropping 2.03 per cent, reaching USD 171.05.
Tata electronics is yet to be listed on the market.
