The construction of the Tesla factory in India is a major step for the North American brand in its “world domination”. The subject was commented on by Jason Hall, presenter of the Motley Fool Live channel, and collaborator Danny Vena.
For the specialists, the installation in the Asian country will contribute for the automaker to become the main name of the electric sector. Combined with China’s Gigafactory, it will be instrumental in the strategy of selling 20 million vehicles a year.
Vena said the construction of the factory is part of a plan by the local government to bring benefits to the city of Karnataka, India. However, he sees something else in this movement.
“By establishing a manufacturing and production unit in a country with very low per capita income, Tesla will be able to produce cars at a much lower price,” says the expert.
Despite operating in the Indian market, the installation will make the brand’s electric vehicles more attractive to local buyers. In addition, with a lower production cost, the company will be able to export models to other countries.
“I believe this is a big deal for Tesla. It is just the next step in the mission to dominate the planet with electric vehicles ”, concludes Vena.
Another advantage of the factory in India
Since 2019, air pollution in northern India has reached unbearable levels. For example, the Ministry of Health advises residents to avoid physical activities outdoors in the morning and late at night.
Therefore, having a brand of electric vehicles with many followers and that supports clean energy will be important for the country. This will stimulate the purchase of models that will contribute to the reduction of pollutant emissions.
This makes the Indian government’s broad support for building the Tesla factory in the country quite understandable.