India is trying to woo Tesla to move their manufacturing operations into the country.
According to transport minister Nitin Gadkari, India is ready to offer incentives to ensure Tesla's production costs are lower than China's if the carmaker commits to making its vehicles in the country.
Gadkari is also pushing for Tesla to build their vehicles entirely in India by hiring local vendors — allowing them to receive higher concessions, although the incentives were not mentioned.
"The government will make sure the production cost for Tesla will be the lowest when compared with the world, even China, when they start manufacturing their cars in India. We will assure that," mentioned Nitin Gadkari, India's transport minister.
China makes up 1/3 of Tesla's global sales today
Whether Tesla will make the shift from China is still unknown, as the automaker recently completed the construction of a new gigafactory in Shanghai last year.
In contrast to India, Tesla sold 1.25 million vehicles in China for the year 2020 alone, making it one of the company's most significant markets.