BENGALURU (Reuters) – Billionaire Elon Musk’s Tesla Inc will arrange an electric-car manufacturing unit within the southern Indian state of Karnataka, in response to a authorities doc seen by Reuters on Saturday.

FILE PHOTO: Tesla Inc CEO Elon Musk dances onstage throughout a supply occasion for Tesla China-made Mannequin 3 vehicles in Shanghai, China January 7, 2020. REUTERS/Aly Track/File Photograph

“The U.S. agency Tesla shall be opening an electrical automotive manufacturing unit in Karnataka,” the state authorities stated in a quick assertion.

The assertion was a part of a broader doc outlining the highlights of India’s finances to its folks within the native language of Kannada.

Final month, the electrical carmaker included Tesla Motors India and Power Non-public Restricted with its registered workplace within the metropolis of Bengaluru in Karnataka, a hub for international know-how corporations.

State Chief Minister B.S. Yediyurappa had then stated in a tweet, which was subsequently deleted, that Tesla would begin its operations in India with an R&D unit in Bengaluru.

It was not instantly clear if the Saturday assertion was referring to the identical unit.

Tesla and the workplace of Karnataka state chief minister didn’t instantly reply to Reuters’ request for feedback.

Musk has tweeted a number of occasions in regards to the firm’s impending foray into India. In December, the Tesla CEO confirmed in an trade on Twitter that Tesla will launch within the nation in 2021.

India has been eager to scale back its oil dependence and reduce down on air pollution, however its efforts to advertise electrical autos have been stymied by a scarcity of funding in manufacturing and infrastructure resembling charging stations.

To spice up funding, India plans to supply $4.6 billion in incentives to corporations establishing superior battery manufacturing services, Reuters reported final yr.

Reporting by Aakriti Bhalla and Bhargav Acharya in Bengaluru; Modifying by Gareth Jones and Steve Orlofsky