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Maharashtra, Tamil Nadu lead the race for Tesla's manufacturing unit

Gujarat also in list, if govt rolls out sops; in talks to rope in local partners

Tesla
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Shine JacobSohini Das Chennai/Mumbai

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Amid reports that Tesla’s investment plans in India have been put on the backburner, sources close to the development indicate that three states — Maharashtra, Tamil Nadu, and Gujarat — are frontrunners for the global major's manufacturing unit in India. A decision in this regard is likely to depend on the product portfolio of the electric carmaker, say industry sources. The company is also in talks to rope in local partners.

If the company is setting its sights on a low-cost model targeting the Indian domestic market, it may establish a unit in Maharashtra. On the other hand,