Electric vehicle (EV) manufacturing giant Tesla is in the initial stages of talks with Reliance Industries Limited (RIL) to form a joint venture to build a manufacturing plant in India, reported The Hindu BusinessLine quoting sources.
One of the persons quoted in the report said the talks are in the initial stages and have been “ongoing for over a month”.
However, the person added that the “move shouldn’t be construed as RIL’s entry into the automobile space”, adding that the oil-to-telecom conglomerate’s objective in the joint venture is to build capacities for electric vehicles in India.
Another source quoted in the Hindu BusinessLine report said the role of RIL has not been “crystalised yet”, but it may play a “significant hand in establishing the manufacturing facility and the allied ecosystem for Tesla in India”.
Tesla has reportedly earmarked $2 billion for its upcoming ventures in India, with plans to establish a manufacturing plant in either Gujarat or Maharashtra.
While Maharashtra may emerge as the preferred location due to its port facilities, no final decision has been made yet.
The report further hinted that senior officials from Tesla are expected to visit India soon to finalise the plant’s location and discuss a potential joint venture with Reliance Industries Limited (RIL). However, if the ongoing talks with RIL do not materialise, Tesla may explore other domestic partners.