Elon Musk-led Tesla leases office space in Pune as Modi govt fends off Chinese automakers – Times of India

Elon Musk-led electric vehicle manufacturer, Tesla, appears to be gearing up to set up a manufacturing facility in India after Prime Minister Narendra Modi recently met the Tesla CEO during his recent visit to the US. In the latest developments around the same, the EV maker has signed a five-year lease with Tablespace Technologies for a 5,850 sq ft office space on the first floor of B wing in Panchshil Business Park, Pune, as per the agreement by real estate analytics firm CRE Matrix.

The monthly rent is reported to be Rs 11.65 lakh, and the security deposit is Rs 34.95 lakh for a 5-year lease term. The deal includes five car parks and ten bike parks. Days ago, two senior representatives from Tesla reportedly had a meeting with Invest India officials to explore its entry in India to set up an EV plant.
Meanwhile, the central government recently rejected Chinese EV maker BYD’s (Build Your Dreams) proposal to invest $1 billion in the country to set up an EV manufacturing plant.

The decision comes on the back of tightened approval requirements after the rise of the Indo-China border dispute in 2020. This isn’t the first time that the government has rejected Chinese investments as previously, Great Wall Motors of China met a similar fate as their $1 billion outlay for EV manufacturing in the country was scrapped off.
Additionally, BYD could reportedly face tax evasion charges for the cars it has been assembling in its Sriperumbudur plant near Chennai. The automaker is said to have underpaid taxes by up to $9 million, according to India’s Directorate of Revenue Intelligence’s probe.
As Tesla’s global rivals, Great Wall Motors and BYD face scrutiny in India, it is advantageous for Tesla to enter the world’s third-largest automobile market. Musk, following his meeting with Modi last month, said “He (Modi) really cares about India because he’s pushing us to make significant investments in India, which is something we intend to do.”