Politicians from several states have rolled out the red carpet to woo Tesla CEO Elon Musk to set up plants in their states. Telangana industries minister K T Rama Rao was the first to invite Musk to invest in his state. Later, Maharashtra water resources minister and state NCP chief Jayant Patil followed suit.
Telangana
Telangana is a state in India that offers numerous advantages for business owners. The state has a strong economy and is home to many industries. In addition, it has a progressive government that promotes gender equality in education. In fact, it is the first state to adopt this policy. The Telangana model for empowering women in society has been so successful that it is being adopted by other countries.
Ministers from multiple states have been inviting Tesla CEO Elon Musk to set up plants in their states. These politicians recognized that having Tesla plants in their states could offer several economic and environmental benefits. For example, these plants would create jobs and support sustainable manufacturing practices. Additionally, they would help to reduce the use of fossil fuels and pollution. The state leaders also recognize that having Tesla plants in their states will foster innovation and technological advancements. This will improve international trade and boost the economy of these states.
Maharashtra
A day after Tesla CEO Elon Musk tweeted that the electric-car maker was working through a lot of challenges with the government, ministers and political leaders from four states took to Twitter to roll out the red carpet for him. Telangana Industries Minister KT Rama Rao, Maharashtra Water Resources Minister Jayant Patil and West Bengal Minister Mohammed Ghulam Rabbani, as well as Punjab Congress chief Navjot Singh Sidhu, all tagged Musk in their tweets urging him to set up a manufacturing plant in their state.
Maharashtra, which is home to Mumbai, has offered the EV maker a 10-year tax waiver and other incentives. Karnataka’s Chief Minister BS Yediyurappa has also written to Musk, inviting him to open an assembly plant in the southern state. But a permanent presence in India could depend on a reduction in import duties, which is a central subject and out of the purview of state governments. Currently, India levies 100% duty on cars that have a net CIF (cost, insurance and freight) value of more than $40,000, while vehicles costing less are eligible for only 60% duty.
Punjab
Political leaders from several Indian states have been reaching out to Tesla Inc. with offers of infrastructure, sustainability and a streamlined approval process. The pitches came from Telangana and Maharashtra in the south, Punjab in the north and West Bengal in the east.
The chief ministers of Rajasthan and Karnataka—Ashok Gehlot of the former and BS Yediyurappa of the latter—also joined the chorus on Sunday, tweeting their willingness to host Tesla plants. Having these plants in their state would burnish their image as business destinations and create much-needed jobs in a time of economic uncertainty, analysts say.
The invitations follow a statement by Musk last week that he was “still working through a lot of challenges” on setting up manufacturing units for his electric cars in India. He had cited high import duties as one of the hurdles. The government wants Tesla to build cars locally to sell in the local market, but the company is seeking a cut in tariffs to give it a head start in the market.
West Bengal
After Elon Musk tweeted that the company is trying to work through some challenges with the central government to bring its electric vehicles to India, politicians from several states came forward to offer him their state as a site for the plant. Punjab Congress chief Navjot Singh Sidhu, Maharashtra water resources minister Jayant Patil and West Bengal’s Mohammad Ghulam Rabbani all made offers to the billionaire.
The offer by Punjab was not just financial, but it also included a single-window clearance and a promise of a “business-friendly environment”. In his tweet, the minister said that the state will make sure that all necessary facilities are available for Tesla.
But the offer by West Bengal was a bit different. The minister threw in some politics and said that he invites Musk to visit the state, where people are fed-up with TMC’s governance. He also talked about the recent panchayat election violence, murder & rape that has rocked the state.