Tesla's India Country Head Resigns As Elon Musk-Led Company Finalizes Launch Plans In World's Third-Largest Auto Market: Report

As the electric vehicle manufacturer is finalizing plans to launch operations in the third-largest car market in the world, Prashanth Menon, the Country Head for India for Tesla Inc. TSLA, has reportedly resigned after nine years with the CEO Elon Musk-led company.

What Happened: Menon, who oversaw operations in India as Chairman of Tesla India Motors and Energy Pvt. for more than four years, was instrumental in the company’s establishment of a local office in Pune in 2021 and the purchase of its first retail leases in Mumbai and Delhi earlier this year, according to sources cited by Bloomberg.

The resignation comes right before Tesla’s anticipated arrival in India. No immediate successor has been named, and the report states that Tesla’s operations in India will be temporarily managed by its China teams.

Tesla did not immediately respond to Benzinga's request for comment.

See Also: A Sign Of ‘Skyrocketing’ Risk Appetite? One-Day Option Trades Explode In Popularity

Get Started

Earn 7.2% — No Matter What the Fed Does

Markets expect rate cuts — but your earnings don’t have to suffer. Lock in 7.2% until 2028 from ten individual bonds.

Get Started

Why It Matters: In order to create more favorable conditions for Tesla’s entry, India is currently negotiating a trade agreement with the United States that could reduce auto import tariffs, which were previously as high as 110%. India recently lowered its 110% tariff to 15% on EVs costing more than $35,000.

Tesla has made progress in its plans to grow in India by securing retail space and hiring more locals. The report claims that the company has also begun to reimburse early Model 3 reservations dating back to 2016, seemingly in preparation for the release of newer models.

Amid trade tensions between the United States and China, Tesla is investigating semiconductor supply chains in India in addition to its retail operations. According to reports, the company has discussed chip supplies with Tata Electronics, CG Semi, and Micron Technology Inc. MU.

Photo Courtesy: Tada Images On Shutterstock.com

Read Next:

• 10x Genomics CEO Calls NIH The ‘Foundational Jewel’ Of Biomedical Progress, Says 40% To 50% Of Revenue Supported By Academic And Government Research Funding — Pulls Full Year Revenue Guidance