Tesla's Rapid Reversal: Partnership With Ramkrishna Forgings Hits Brakes Just Two Days After Announcement

US electric carmaker Tesla Motors has put on hold its partnership with Kolkata-based Ramkrishna Forgings Limited (RKFL), days after its CEO Elon Musk postponed his India visit.

"Further to our earlier press release dated April 18, 2024, it is hereby notified that USA's Largest Electric Passenger Vehicle manufacturer has vide a subsequent communication put on hold its earlier approval in relation to supply of power train components, by Ramkrishna Forgings Limited," RKFL said in a regulatory filing on 20 April.

On 18 April, Ramkrishna Forgings had announced that it had secured approval from the USA's largest electric passenger vehicle manufacturer to provide powertrain components.

While the manufacturer's identity remained undisclosed in the initial disclosure, insiders confirmed it to be Tesla, owing to its prominent position in the electric vehicle industry in the US.

The partnership with Tesla would have represented the Ramakrishna Group's entry into the American electric passenger vehicle (EV) segment, as highlighted in a filing with the stock exchange.

Earlier on 21 April, Elon Musk announced a surprise change of plans postponing his much-anticipated India visit where he was expected to announce his investment plans in the country. 

“Unfortunately, very heavy Tesla obligations require that the visit to India be delayed, but I do very much look forward to visiting later this year,” Musk said in a social media post.