Following China, Testa is going to conquer India, the third largest economy in Asia. However, Elon Musk’s companies predicted problems related to the demand for his electric vehicles, which may be too expensive for local residents.

Musk announced that he negotiates with local officials to open an office, showroom, research center and factory in that country in January 2021. Analysts suggest that the American electric car maker is unlikely to be able to rely on large volumes of sales in India.

The point is that the price of the base Tesla Model 3, which is made in China, starts at $40,960. At the same time, about 75 percent of all car sales in India come from models that cost 10 thousand dollars and below that. This is half of the same figure in China and a quarter of the average price in the United States.