Fisker looking to enter Indian Market, Might even set up a Local Production unit

Fisker has announced intentions to begin selling its Ocean electric SUV in India next summer, with the possibility of starting local manufacture within a few years.

According to Founder and CEO Henrik Fisker, EV sales in India would grow by 2025-2026, which is why his business wants to be among the first to secure a footing in the market. He stated that the firm is seeking real estate space in New Delhi to construct a store and that it is meeting with auto component suppliers to acquire parts for its worldwide manufacturing.

The automobile designer turned entrepreneur believes India will someday become all-electric. He said, "It may not go as fast as the U.S., China, or Europe, but we want to be one of the first ones to come in here."

Fisker confessed that importing automobiles into India is "extremely expensive" due to the existing 100 percent tariffs, but the business hopes the Ocean will help establish the brand in India. The Fisker Ocean would cost roughly $37,500 in the United States, plus a 100 percent import tax and shipping fees.

Because most new automobiles produced in India are priced at around $15,000, relatively few individuals will be able to purchase one.

Fisker feels that in order to attain a higher volume in India, firms must start constructing automobiles locally or at least perform some assembly. He also mentioned that Fisker's next electric vehicle, the smaller PEAR, is being evaluated for India, but not before 2026.

Henrik Fisker noted that if the corporation finds a suitable local partner, the schedule might be shortened. Setting up a facility in India would need a volume of at least 30,000 to 40,000 automobiles per year, and the executive thinks that setting up a plant with an annual manufacturing capacity of 50,000 cars in India would cost $800 million.

It's important mentioning at this juncture that Fisker does not possess an assembly factory. The EV firm has contract manufacturing arrangements for the Ocean with Magna International in Austria and the PEAR with Foxconn in the United States.

EVs now account for less than 1% of India's yearly automobile sales of about 3 million units. They are gaining market share slowly because to the country's inadequate charging infrastructure and costly battery costs.

The Indian government wants to expand the percentage of electric cars to 30% by 2030 and is giving billions of dollars in incentives to EV and battery manufacturers to construct their EVs and EV components domestically.