Tesla looking at sourcing components worth about USD 1.9 bn from India: Goyal
New Delhi (PTI): US-based electric vehicle maker Tesla is looking to source components worth around USD 1.9 billion from India this year against USD 1 billion last year, Commerce and Industry Minister Piyush Goyal said on Wednesday.
The minister said that going forward, demand for electric vehicles will increase and it will help in pushing the growth of the sector.
"Tesla already last year bought one billion dollars of components from I think all of you sitting here... I have the list of companies who supply to Tesla. This year their target is nearly USD 1.7 billion or USD 1.9 billion what they mentioned," he said here at an event of auto component makers.
Earlier the government had stated that it is not looking to frame a separate policy for providing incentives to Tesla, and the company can apply to avail support measures under existing schemes like PLI for auto and advanced chemistry cells
The government has rolled out the production-linked incentives (PLI) schemes (PLI) for advanced chemistry cell (ACC) battery storage with an outlay of Rs 18,100 crore and Rs 26,058 crore PLI scheme for auto, auto-components and drone industries.
The world's largest electric car producer Tesla Inc's chief Elon Musk met Prime Minister Narendra Modi in June in New York.
Musk, after meeting the Prime Minister, said he plans to visit India in 2024.
When asked whether the government is considering duty concessions on completely built-up units to attract certain sections of electric cars into India, the minister said: "Everything we have done has been done equally without any differentiation, without any preferences".
"This is the government which provides equal opportunity to everybody. So we will come out with a policy. A policy which will be in consultation with all the stakeholders - SIAM and ACMA - both will have a role in helping us draft a good policy," he added.
The government is continuously making efforts to attract newer investments and newer opportunities for the sector.
"Very clearly, we can see that going forward there will be a natural demand and an increasing demand or shift driven by an economic story by which we will see the electric auto industry grow," he said.
The electric auto industry, he said, is growing worldwide and it will see that growth in India also.
He added that the demand gap between electric vehicles and other vehicles has reduced and "narrowed quite significantly".
"My own sense is that going forward, that delta (gap) will get further squeezed and compressed," he said adding in taxis, public transport, and buses, "we already see electric vehicles becoming a very compulsive investment case".
"In this situation, we would like to see more investments and a larger production output in India of electric vehicles as soon as possible in the near future," the minister said, adding with increasing demand and production, the Indian auto component industry will not only than produce for a larger India demand, but also export.
Citing some meetings with auto industry participants, he said players have indicated that they have an interest in coming to India.
"And therefore, I am convinced that this is the future and this is something we must try to attract," Goyal said.
It will be a compulsive business case by 2030 for consumers to go in for electric vehicles and it will not be any by policy or artificial intervention.
When asked about foreign firms looking to invest in India as part of their China plus one strategy, Goyal said that global companies are coming to India because of its attractiveness.
"I totally debunk and reject the China plus one theory. That's not what is going to drive India...India of today stands on its own feet. The India of today has offerings for the rest of the world... both for investment and trade," he said.
Goyal added that India provides them good business environment, skills, managerial talent, a big market, and demand generated by 1.4 billion people.
"It's a rules-based economy..., it's a young democracy.....one of the fastest growing large economies. All of this makes it a compulsive investment destination.
"Therefore companies around the world have gone beyond the China-plus-one story, they have gone beyond the ABC philosophy of anything but China, they have gone beyond friend-shoring or near-shoring and are looking at India as a trusted partner," he added.
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India's neighbours wanted to break up Assam but Modi govt shattered their dreams: Fadnavis
Dibrugarh/Jorhat (PTI): Maharashtra Chief Minister Devendra Fadnavis on Tuesday claimed India's neighbours wanted to "break up" Assam by taking advantage of the unrest here earlier, but their "dreams were shattered" as the Narendra Modi government brought peace to the region.
Militancy has come to an end, and 92 per cent of the assurances made in the peace agreements with various groups have already been implemented, he told a poll rally.
Fadnavis maintained that the BJP-led government in Assam has not only ensured the state's development but also protected its identity.
He accused the Congress of having neglected the state and the northeastern region by adopting a "step-motherly attitude" towards them, while Modi has put the region at the centre of development.
Addressing a rally in support of BJP's Dibrugarh candidate Prasanta Phukan, Fadnavis said, "Due to the unrest in the state earlier, neighbouring countries thought they would break Assam someday. But their dreams were shattered by Modi ji, and Assam is progressing fast today."
Crediting the BJP government for bringing the militant groups to the mainstream, the Maharashtra chief minister said not only were peace accords signed with them, but 92 per cent of the assurances made have been implemented.
"Work is on for implementing the remaining eight per cent of promises also," he added.
Highlighting the various welfare measures of the state government, Fadnavis said special emphasis was being given on women's empowerment in line with the Centre's thrust on it.
"Women have benefited the most under Modiji's government. It will be 'Mahila raaj' from 2029 when 33 per cent reservation is implemented in Parliament and state Assemblies," he added.
Speaking at another rally in support of the BJP's Jorhat candidate Hitendra Nath Goswami earlier, the Maharashtra chief minister alleged that infiltration was at its peak in Assam under Congress governments.
"People had to launch a movement against it, and scores were martyred. But the influx did not stop, and the state was burning. It was staring at a full demographic change."
"But the situation changed when Modi came to power. Infiltration has been stopped, and almost all militant groups in the state are returning to the mainstream," he claimed.
Fadnavis claimed that the state's demography would have changed and Assam's history would have been rewritten under the Congress rule.
"But the Modi government works not just for development, but also protects the state's identity, culture, history, and tradition," he said.
He told the gathering that the BJP-led government has ensured massive infrastructure development for the state.
Mentioning the Tata Group's semiconductor unit at Jagiroad, Fadnavis said, "It is a gift of Modi ji to Assam. It will place the state on the global map."
He added that countries with the ability to manufacture semiconductors will be global leaders in the future, and India has joined the elite ranks of a handful of nations.
Taking a dig at the Congress, Fadnavis alleged it had always adopted a "step-motherly attitude" towards the northeast, due to which the region did not see much development, and was embroiled in unrest.
He also criticised the opposition party for its "anti-national stance" during the West Asia crisis, claiming it was trying to create discontentment among the people by raising false doubts over the availability of LPG and fuel.
"We had also been in the opposition, but we had never acted in such a shameful manner," he said.
Taking a dig at state Congress president Gaurav Gogoi, who is also the opposition party's candidate in Jorhat, Fadnavis said, "Those in Lok Sabha should remain there. BJP will return to power, and he will have no work here."
Gogoi is also the opposition party's deputy leader in the Lok Sabha.
