Elon Musk-owned Tesla has decided to halt plans to sell electric cars in India, according to ndtv.com.

The company has also stopped its hunt for a showroom and has restructured responsibilities among its team.

The recent move follows days of talks with government representatives on selling Electric Vehicles "imported from production hubs in US and China, at much lower tariffs."

However, as per reports, the Union government wants Tesla to manufacture locally.

Tesla had set a February 1 deadline to gauge if extensive lobbying yielded results.

Refused concession Tesla held back the plans to import cars into India, according to anonymous sources. who sought anonymity because the deliberations were private.

For months, Tesla had scouted for real estate options to open showrooms and service centres in the key Indian cities of New Delhi, Mumbai and Bengaluru but that plan is also now on hold, two of the sources said.

Neither Tesla nor the Union government refused to talk about the development.