India asks Tesla to buy local auto parts worth $500 million

The world‘s Biggest Electric Vehicle manufacturer Tesla has been looking for expansion opportunities all around the globe. In India as well the automaker has some avid fans present who are eagerly waiting for the EV giant to make its debut in the domestic market. Reacting to growing requests from the Indian Fans, TESLA’S CEO Elon Musk a couple of years back announced that they will soon be going make their Indian debut. However, Tesla has been in a tussle with the Indian government over high import duties. The Indian government on the other hand wants Tesla to manufacture its car in India rather than importing them from its political rival China. Currently, the import duty is 100% on the import of cars and Tesla wants it to be lowered in the order to try its car in Indian Market and observe users' response towards its products. However, there can be an agreement between both parties. According to the latest sources, the government is considering lowering import duty only if tesla source auto parts manufactured in India worth $500 million. Tesla needs to increase its purchase by 10% to 15%  of Indian manufactured auto parts.