Tesla has for years been been making a case for cutting import taxes before it commits to any significant investment in India. New Delhi in March slashed the import duty on EVs for companies that set up local factories with at least 41.5 billion rupees ($500 million) of investment.
With Tesla yet to firm up its India plans, the competition for market share remains chiefly among Asian players and is set to heat up as sector leader Maruti Suzuki joins the fray.
Maruti Suzuki, the nation’s biggest carmaker by volume, has time and again demonstrated its ability to capture a big slice of the market even if it enters late — with its diesel offerings and compact SUVs in the past.
Maruti’s e-Vitara will be up against Hyundai’s Creta Electric, Toyota’s Urban Cruiser EV, MG’s Cyberster and Kia Carens EV. In the meantime, Tata Group’s automobile unit, which has over 60% of India’s green vehicles market, will look to fend off new entrants this year.
