While rumours of a possible (and difficult) investment in Italy are rife, Tesla is continuing to study India as a location for its next electric car factory. The Financial Times reports on the steps being taken by the manufacturer, which is preparing a team of experts to be sent to the subcontinent by the end of April.

The team's task will be to find the best location for the plant, which will cost between $2 billion and $3 billion (or between €1.8 billion and €2.7 billion) and will probably be built in centres already dedicated to four-wheeled vehicles, such as those in Maharashtra, Gujarat and Tamil Nadu. There has been no official confirmation, however, with Tesla refusing to comment on rumours in the international press.

Birthplace of the Model 2

Once up and running, the factory will produce the much-anticipated Model 2, Musk and co's electric car with a target price of €25,000 (around £22,000 at the current exchange rate). So two entities that have been courting each other for a long time are going to join forces.

Elon Musk and Narendra Modi

The first contacts between the country and the American company date back to the beginning of 2021, when New Delhi offered unprecedented incentives to convince the company to land on the subcontinent. Nothing happened then, but negotiations reopened about a year ago, culminating in a meeting between CEO Elon Musk and Prime Minister Narendra Modi.

Start of imports

Last month, on the other hand, the Indian government decided to reduce customs duties on imports of electric vehicles, provided that the recipient manufacturer undertakes to invest at least half a billion dollars in local production within three years.

In short, all the signs point to this conclusion, so much so that, according to the Reuters press agency, the company has begun producing models for export with the driver's seat on the right at Giga Berlin. Destination: India. The aim is to take advantage of tax breaks.