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 Tesla has registered a company in India as it prepares to start operations there in early 2021, according to the country's transport minister. India wants to increase sales of electric vehicles as it is more focused on reducing emissions. It has the fifth largest car market in the world - but Toyota and Ford have been slowing down the country's performance. Tesla is very close to launching sales in India over the course of the year.

India is home to the world's second-largest population and the world's largest car market. The company, called Tesla Motors India and Energy Private Limited, was established on January 8. Its office is registered in Bangalore, a southern city that has become a technology center in the country, and has three directors listed. The company's registration came less than two weeks after Nitin Gadkari, India's Minister of Transport, told The Indian Express that Tesla would start operating in India in early 2021.

The company will start with sales and then move on to mergers and acquisitions. Chief executive Elon Musk has been making fun of Tesla's entry into the Indian market for years. says a top researcher - and could reduce production costs by 50% The Indian government is trying to increase sales of electric vehicles as it focuses on reducing pollution and other sustainability. In September 2017, the government said all 250 million vehicles on the road should be electrified by 2030.

But after fierce criticism, the government reduced this target to only 30% in February 2018. And Delhi, the national capital, will have about 2,000 public transport buses by the end of 2021, the city's Transport Minister Kailash Gahlot announced in August 2020. The Department of Energy is also looking at the installation of electric car charging stations at all petrol stations in Delhi. In five years India will be the first to produce electric buses, cars, and two wheels.

Nitin Gadkari, the country's minister of road and highway transport, said in June. It is interesting and there is a great desire to see that (Musk) hopes to enter a country with a reputation for massive air pollution, especially in big cities, Sam Bailey from established real estate company Mewburn Ellis told Insider. It is also a testament to his belief that Tesla is now approaching an attractive and affordable price for people in all economies and there is no longer the preservation of the first rich people who acquire new technology.

India is the third-largest emitter of carbon dioxide, after China and the US, according to the World Economic Forum, and accounts for about 7% of total global emissions. Tesla aptly identified India as a major market for growth, David Leggett, a car analyst at GlobalData, said. There is a large and rich middle class that is developing in its many urban areas. India has a population the same size as the Chinese - approaching 1.5 billion people - but its car market is only about three million, about a tenth of China.

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Over the next five years, we expect the Indian car market to double in size, with electric cars increasing their share. In February 2017, Musk said he hoped to start selling in India that summer. Four months later, he said he was in talks with the Indian government over Tesla. Then in March 2019, he wrote on Twitter: I would love to be there this year. If not, definitely the following! when asked when Tesla will start selling there. As Tesla plans to launch its launch in the Indian market, other car manufacturers are continuing to roll out.

Earlier this month Tesla announced that it had begun producing Model Y cars in China, the world's largest car market, which experts say could be a key to Tesla's success. It also reduced the pre-purchase price of a car by 30%.