India not to tailor EV policy just for Tesla, says Goyal

INDIA WILL NOT tailor its policies to suit US-based EV maker Tesla, and its laws and tariff rules will be formulated to attract all-electric vehicle manufacturers from across the world to set up a base in the world's fastest-growing economy, commerce and industry minister Piyush Goyal said.

Tesla has been seeking an initial tariff concession that would allow it to offset 70% customs duty for cars priced less than $40,000, and 100% for cars of higher value.

In an interview with PTI, Goyal said the government recognises the need for a vibrant EV ecosystem as greater use of battery-run vehicles will cut carbon emissions as well as the staggering oil import bill.

But for this, it will not tailor policies that suit any one company and would rather frame ones that will encourage all-electric vehicle manufacturers from across the world to set up shop in India, he said.

"We are working on several initiatives where we are having interministerial (consultations) and a dialogue with the stakeholders, with potential investors from across the world from Europe, from the United States, from the Far East, from Japan, from Korea," he said.

Tesla made the concession demand a precondition to build a plant in India. High tariffs on motor vehicles, meant to boost local production, have been a lingering issue for foreign carmakers too.