Musk said there are still challenges for Tesla to enter the Indian market

According to the U.S. Stock Research Agency, the Zhitong Finance APP learned that earlier on Thursday, a user asked Musk about Tesla (TSLA. US) recent developments in the Indian market, Musk replied to the user: "There are still many challenges to be addressed on government-related issues."

Tesla CEO Elon Musk has said he hopes to sell Tesla electric cars in India as early as 2019, and three years later, the plan still appears to be at a standstill.

Musk and Prime Minister Narendra Modi's government have been negotiating for years, but numerous disagreements over India's local factories and the country's up to 100 percent import tariffs have led to a stalemate in the talks.

It is understood that the Indian government has asked the electric vehicle manufacturer to increase its localization procurement efforts in India and share a detailed production plan. Musk has asked for lower taxes so Tesla can sell imported cars at lower prices in a tight-budget market.

Last October, an Indian minister said he asked Tesla to avoid selling Chinese-made cars in India and urged the automaker to produce, sell and export cars from local auto factories in India.

For Tesla, india with a large population is a very promising market, but the country's car market is still dominated by Suzuki Motors and Hyundai Motors, which are cheap and practical in the local area and are loved by local consumers.

Tesla will also face competitive pressure from other traditional automakers, including German auto giant Mercedes-Benz, which announced On Wednesday that it would launch a locally assembled Mercedes-Benz EQS in India in the fourth quarter, the electric version of the flagship S-Class sedan.