Tesla (TSLA) appears to be moving closer to officially unveiling its long rumored India manufacturing plant, with local reports Thursday expecting the announcement to come early in 2024. TSLA shares advanced early before falling, reducing their December rally.

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The global EV giant is expected establish its latest factory in Gujarat, situated on the western coast of India, with the official unveiling taking place during the “Vibrant Gujarat Summit” in January, local media reported Thursday. Chief Executive Elon Musk is expected to be present for the announcement, the Ahmedabad Mirror reports.

Throughout 2023, Musk has teased TSLA would set up shop in India. In June, Musk met with India’s Prime Minister Narendra Modi Tuesday in New York City and afterward hinted to members of the press it’s “quite likely” Tesla will soon have a presence in the country.

“We don’t want to jump the gun on an announcement but it’s quite likely that there will be a significant investment and relationship with India in the future,” Musk at the time.

Tesla has vehicle plants in Fremont, Calif.; Austin, Texas; Shanghai; and Berlin. A factory in Mexico is planned.

TSLA gained ground early before falling more than 3% to 253.19 Thursday during market action. Tesla stock rose 1.9% to 261.47, clearing a 259.84 early entry within a double-bottom base on Wednesday amid reports the EV company is updating the popular Model Y in China. Ahead of Thursday trade, TSLA stock angled about 9% higher in December, finding support at its 10-day moving average.

Futures: Tesla Falls Below Buy Point; Hot IPO Hits Profit-Taking Zone

Tesla Stock Performance

The relative strength line for TSLA is in a five-month slump but has now hit a two-month high. Tesla stock sank after the EV giant reported worse-than-expected Q3 earnings and revenue on Oct. 18. However, Tesla stock is building the right side of a double-bottom base giving it a 278.98 buy point, according to MarketSmith analysis.

So far in 2023, Tesla stock has more than doubled, easily outperforming the broader S&P 500 index.

Tesla stock ranks fourth in the 35 member IBD Auto Manufacturers industry group. The S&P 500 component has an 81 Composite Rating out of a best-possible 99. Tesla stock also has a 90 Relative Strength Rating and an 88 EPS Rating.

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