Tesla begins recruitment for senior roles in India

By Ragini Saxena

Tesla Inc. has begun recruiting for leadership and senior-level roles in India, according to a person familiar with the matter, as it gears up to break into one of the world’s biggest emerging car markets.

The California-based maker of electric vehicles is recruiting for positions including a head of sales and marketing, and a head of human resources, the person said, asking not to be identified. A Tesla fan club tweeted last week the company had brought on board a senior legal counsel.

Local media reported last month that Prashanth Menon, who has been with Tesla for around four years, was elevated to country CEO.

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Tesla didn’t immediately respond to a request for comment.

The EV maker is closely monitoring announcements from Prime Minister Narendra Modi’s government regarding changes to the country’s goods-and-sales tax that may reduce the cost of owning an electric car, the person familiar with the matter said. It’s also waiting for further incentives for EV makers under India’s production-linked incentive program before it makes a real push into the country.

Under the PLI, as it’s called, manufacturing incentives will rise each year in an ongoing effort to entice the world’s biggest brands to make their products in India and export to the world. Last month, India’s cabinet also approved a Rs 18,100 crore plan to boost battery storage capacity to 50 gigawatt hours.

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Tesla’s foray into India may well prove challenging, however, even with sweeteners. Unlike China, India hasn’t rolled out the welcome mat for electric cars. Tesla set up its first factory outside of the US in Shanghai and now dominates sales of premium EVs in China. EVs account for about 6% of China’s annual car sales, according to BloombergNEF, compared to less than 1 per cent in India.

The expensive cost of Tesla cars is viewed as a sticking point too. Although India is home to a budding middle class, pricey automobiles remain well out of reach of the vast majority of the population. The lack of charging infrastructure is another impediment to large-scale EV adoption.

Tesla has picked Karnataka for its first plant, the state’s chief minister said in February. Tesla hasn’t commented. The automaker has been negotiating with local officials for six months and is actively considering car assembly in the suburbs of Bangalore, other people familiar with the matter said at the time.