BENGALURU (Reuters) – Tesla Inc, owned by billionaire Elon Musk, will open an electric car manufacturing facility in southern India’s Karnataka state, according to a government document seen by Reuters on Saturday.
“The US company Tesla will open an electric car manufacturing facility in Karnataka,” the state government said in a brief statement.
The statement was part of a larger document that outlines the highlights of India’s budget for its people in the local language of Kannada.
Last month, the electric carmaker incorporated Tesla Motors India and Energy Private Limited with its headquarters in the city of Bengaluru in Karnataka, a hub for global technology companies.
Chief Minister of State BS Yediyurappa then said in a tweet, which was later excluded, that Tesla would start operations in India with an R&D unit in Bengaluru.
It was not immediately clear whether Saturday’s statement referred to the same unit.
Tesla and the office of the Chief Minister of Karnataka State did not immediately respond to Reuters’ request for comment.
Musk tweeted several times about the company’s imminent foray into India. In December, Tesla’s CEO confirmed in a Twitter exchange that Tesla will launch in the country in 2021.
India has been struggling to reduce its dependence on oil and reduce pollution, but its efforts to promote electric vehicles have been thwarted by a lack of investment in manufacturing and infrastructure, such as charging stations.
To boost investment, India plans to offer $ 4.6 billion in incentives to companies that create advanced battery manufacturing facilities, Reuters reported last year.
Reporting by Aakriti Bhalla and Bhargav Acharya in Bengaluru; Editing by Gareth Jones and Steve Orlofsky