India to be Tesla's (NASDAQ: TSLA) Next Breakthrough Market
Tesla has always had an interesting sales position.
It doesn’t spend a cent on advertising to start with; every bit of its fame has come from word of mouth, and near-constant news of its infamous CEO, Elon Musk.
The fact that the company has gotten this big on those merits alone is pretty impressive.
Tesla Inc., headquartered in California, now sells its Model S and Model X cars all over the world.
Some of the biggest transportation markets in the world are already going all-in on EVs, and yesterday we got word that Tesla is eying the mother of all markets next.
If all goes according to plan, Tesla could soon be selling in India.
The country offers a massive opportunity not just for Tesla, but for all EV makers. India’s state as one of the most smog-ridden countries in the world has put it at the forefront of the clean energy movement.
One of the ways the country plans to clean up, even as it expands its developing energy infrastructure, is by encouraging more EV use over traditional gasoline cars.
In fact, the country has already set a goal of having all new cars sold be electric by 2030!
It’s slated to be the third-largest vehicle market even before that, some time around 2020 according to the India Brand Equity Foundation.
A deal, currently in discussion between Tesla and India’s government, may give Tesla first access to this massive, emerging energy market.
Right now, import restrictions make sending cars to India prohibitively difficult.
In discussions with the government of India requesting temporary relief on import penalties/restrictions until a local factory is built— Elon Musk (@elonmusk) June 14, 2017
That’s right, there may be plans for yet another Gigafactory in the works too. We don't know all the details yet, but you can imagine that in so large a market as India, that would almost be a given.
Of course, we’re not looking for this to boost Tesla. That ship has sailed, and that stock is way to jumpy to get into now.
However, lithium and cobalt, the two metals that none of this will be possible without, are going to absolutely skyrocket with the growth of the EV market.
India will be the next big catalyst in the lithium revolution.
To continue reading about Tesla’s foray into the Indian car market, click here to read the Business Insider article.
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