In a significant development that signals its serious intent to enter the Indian electric vehicle (EV) market, Elon Musk’s Tesla is reportedly looking for land in Satara, Maharashtra, to establish a Completely Knocked Down (CKD) assembly unit.
This move comes at a crucial time as Tesla ramps up efforts to begin operations in India, one of the fastest-growing automotive markets in the world.
What Is a CKD Unit and Why It Matters
A CKD (Completely Knocked Down) unit is a facility where vehicles are imported in parts rather than as fully built units and assembled locally. This strategy allows manufacturers like Tesla to significantly reduce import duties, making their vehicles more competitively priced in markets like India, where high taxes have long been a barrier for imported EVs.
Tesla’s potential CKD setup in Satara would be a key step in making its EVs more accessible to Indian buyers while also aligning with the government’s Make in India vision.
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Talks with Megha Engineering for JV
Tesla has reportedly been in talks with Hyderabad-based Megha Engineering and Infrastructure Ltd., among other Indian companies, for a joint venture related to the CKD facility. While no official confirmation has been made, these discussions suggest that Tesla is actively seeking local partnerships to streamline operations and navigate regulatory frameworks.
Tesla’s Growing Footprint in India
Evidence of Tesla’s impending India launch is mounting:
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The company has posted job listings for key positions across Mumbai, Delhi, and Pune, indicating a ramp-up in local hiring.
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In March 2025, Tesla signed a five-year lease for its first Indian showroom in Mumbai, aimed at retailing imported EVs before local production begins.
These moves follow Elon Musk’s high-profile meeting with Prime Minister Narendra Modi, during his US visit, where Tesla’s India plans were reportedly discussed.
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Leadership Reshuffle Amid Expansion Plans
Amid these developments, Tesla India’s Country Head, Prashanth Menon, recently stepped down after a nine-year stint with the company. Following his resignation, Tesla’s India operations will now be managed by its China-based team, according to Bloomberg.
This leadership transition comes at a critical juncture, suggesting Tesla is reshaping its internal strategy to fast-track its Indian operations with the support of its more established Asian hub.
Tesla’s plan to set up a CKD assembly unit in Maharashtra is a clear indication that the American EV giant is committed to a long-term presence in India. With land scouting in progress, job hiring underway, and a showroom lease already signed, 2025 could mark the beginning of Tesla’s electric revolution in India.
