Even before it has started production of its first electric vehicle (EV), the Ocean SUV, Fisker is thinking ahead and is considering setting up a manufacturing facility in India.
The automaker also plans to launch sales of the Ocean SUV in India next year, despite high import taxes that will put it out of reach of most buyers in the country.
CEO Henrik Fisker revealed the company’s plans in an interview with Reuters, saying that in order to set up a factory they would need to see local sales of between 30,000 and 40,000 units per year.
That may be a tall order considering the company has about 60,000 reservations for the Ocean SUV, an EV that will start as low as $43,999 CAD or $37,500 USD, but go as high as $70,000 or more depending on the variant and options selected.
They have also announced the PEAR EV, which will be more affordable at under $30,000 USD, but have so far only accumulated less than 5,000 reservations since it was announced in February.
Those prices will be even higher in India, which carries a 100% tax on imported EVs, pushing the price of the Fisker Ocean and PEAR EVs well above the average new car selling price in India, which sits under $15,000.
Fisker however envisions a future where they will be able to bring the price of the PEAR EV down to $20,000 with local production, and be able to gain market share with a first mover advantage. Local production wouldn’t begin until at least 2026, Fisker explained.
“Ultimately, India will go full electric. 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. If we can get that vehicle just below $20,000 locally in India, that would be ideal. Then I think we’ll get to a certain volume and market share,” Fisker said.
Fisker is planning to start production of the Ocean SUV in November, partnering with Magna to build it at one of their facilities in Austria. The company has also considered expanding production to the US, possibly to take advantage of the Inflation Reduction Act (IRA).
The company has also partnered with Foxconn to build the PEAR EV at their new facility in Ohio.
