Tesla takes up an office in Pune, amid talks to expand to India

In pursuit of its Indian dream, Tesla, the trailblazing American electric vehicle pioneer Indian subsidiary Tesla India Motor & Energy has secured a sprawling office space in Pune's vibrant Viman Nagar. A visionary office spanning 5,850 square feet is situated on the first floor of an iconic tower within Panchshil Business Park. The lease spans five years, beginning on October 1, with a lock-in period of three years. Tesla India seizes the future with confidence, presenting an option for lease renewal and extending the commitment to an impressive ten-year tenure.

Tesla India will pay a monthly rental of Rs 11.65 lakh, with a 5 percent escalation scheduled annually. This rental plan culminates in a total pay-out of Rs 7.72 crore. CRE Matrix documents verified the official lease deal, which was registered on July 26. Beyond office spaces, Tesla strives to establish a electric vehicle manufacturing factory in India. The company had engaged in dialogue with the Indian government, underscoring its determination to explore the vast potential of the Indian market.

Evidencing its intent, Tesla India formally registered its presence in Bengaluru in January 2021, marking a pivotal step towards realizing its ambitions of introducing its cutting-edge vehicles to the Indian market. Following a meeting with Prime Minister Narendra Modi in New York in June, Tesla's Chief Executive Officer, Elon Musk, revealed the possibility of establishing a manufacturing base in India. This transformative shift in Tesla's perspective symbolizes its proactive approach to harnessing India's vast potential, diverging from its previous stance that considered manufacturing in the country only in the event of success with imported models, owing to India's relatively high levies on automobiles compared to other major nations.

Reports indicate Tesla sought a 40 percent import duty reduction on fully assembled electric vehicles, aiming to introduce its state-of-the-art offerings to Indian shores. The government's response hinges on factors like local investments, highlighting its commitment to equitable policies. Furthermore, recent reports suggest India's openness to considering Tesla's foreign vendors, particularly those based in China, to manufacture crucial components within the country's borders. The government remains steadfast in its reluctance to grant company-specific exemptions, signifying its commitment to balanced policies. This development assumes prominence as key electric vehicle components, such as battery cells, are presently imported from China. Tesla's expressed desire to establish its supply chain ecosystem in India reflects its vision of contributing to the nation's economic landscape.

Pune, an illustrious industrial hub in Asia, stands tall as a beacon of innovation with over 4,000 manufacturing enterprises spanning electronics, engineering, automobiles, and e-vehicles. Among the distinguished global entities, Mercedes-Benz India's sprawling 100-acre production facility at Chakan serves as a testament to pioneering industrial growth. Tesla's transformative journey in India brings a fresh wave of innovation and progress to the nation's mobility landscape. As Tesla accelerates towards India's promising future, the nation eagerly anticipates the dawn of a new automotive era.

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Tesla takes up an office in Pune, amid talks to expand to India

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