Tesla Motors CEO Elon Musk has strong fan following in India but Tesla Motors hasn’t made an official entry to Indian automobile sector. Tesla’s vehicles are expensive for Indian consumer but company could still generate good sales volume in premium segment. In a recent query on social network Twitter, Musk commented that tough regulations in India is the main reason Tesla Motors has delayed entry in the fast-growing Indian automobile market.

Talking about Tesla’s entry in Indian market, Musk tweeted, “Would love to be in India. Some challenging government regulations, unfortunately. Deepak Ahuja, our CFO, is from India. Tesla will be there as soon as he believes we should.” Musk has clearly thrown the ball towards Indian politicians. Indian Prime Minister Narendra Modi has been promoting his country as manufacturing hub with its trade partners. However, the government has achieved little in terms of development on ground. In terms of ease of doing business, India still ranks low compared to many other emerging markets.

Elon Musk has been successful in dealing with local authorities in many states cross the United States in terms of subsidies for electric vehicles. But, Indian government needs much better plan for promotion of electric vehicles.

India consumer has limited choice in electric vehicles segment and first mover in the segment can surely benefit from a massive consumer base in India. Compared to China, Indian government has done little for promotion of electric vehicles. The fast-growing Indian market also lacks in terms of charging infrastructure.

In the recent past, Musk informed on Twitter, “In discussions with the government of India requesting temporary relief on import penalties/restrictions until a local factory is built.”

As China recently relaxed regulations on foreign companies, Tesla has moved ahead with its plan to have manufacturing facility in China. Chinese electric vehicle market is growing fast and the country accounts for 50% of EVs sold across the world.