BENGALURU (Reuters) – Tesla Inc., billionaire Elon Musk, will set up an electric car manufacturing unit in the southern Indian state of Karnataka, according to a government document seen by Reuters on Saturday.
“The American company Tesla will open an electric car manufacturing plant in Karnataka,” the state government said in a brief statement.
The statement was part of a larger document that outlines the most important points of India’s budget for its local Kannada people.
Last month, the electric car maker incorporated Tesla Motors India and Energy Private Limited headquartered in Bengaluru, Karnataka, a hub for global technology companies.
BS Chief Minister Yediyurappa then said in a tweet, which was later deleted, that Tesla would start operations in India with a research and development unit in Bengaluru.
It was not immediately clear whether Saturday’s statement referred to the same unit.
Tesla and the Karnataka chief minister’s office did not immediately respond to Reuters’ request for comment.
Musk has written several times on Twitter about the company’s imminent foray into India. In December, the CEO of Tesla confirmed in an exchange on Twitter that Tesla will be launched in the country in 2021.
India has sought to reduce its dependence on oil and reduce pollution, but its efforts to promote electric vehicles have been hampered by a lack of investment in production and infrastructure, such as charging stations.
To increase investment, India plans to provide $ 4.6 billion in incentives to companies setting up advanced battery manufacturing facilities, Reuters reported last year.
Reporting by Aakriti Bhalla and Bhargav Acharya in Bengaluru; Editing by Gareth Jones and Steve Orlofsky