The leader of the Indian luxury car market, Mercedes-Benz has said that the entry of Tesla “doesn’t worry the company at all” and added that the addition of the American electric giant will only help in strengthening the position of premium green cars in the country.
Tesla is soon going to make its entry in the Indian market and with the popularity and growth of the brand it is evident that its entry in India might instill fear among other manufacturers.
However, Martin Schwenk, who leads Mercedes in India, said his company’s business in India remains on a strong footing and faces no apparent threat from the Elon Musk-run auto giant which has been gaining in scale and market capitalisation over the past few years.
Schwenk said to TNN, “Rather it’s the opposite, entry of any new brand creates additional interest and additional markets. And it’s not only Tesla (that we compete with). There is lots of activity across manufacturers.” Mercedes and Tesla have been each other's competitors across various markets, including neighbouring China, the US, and many countries in Europe.
In a bid to set its foot in India, Tesla got an Indian subsidiary registered with the registrar of companies (RoC) in Bangalore and this is called Tesla India Motors and Energy Pvt Ltd. Musk has often been vocal about his desire to sell cars in India, and recently Union minister Nitin Gadkari said the company will start operations here in 2021 which may include setting up a manufacturing unit.
