Tesla would scale back Indiana operations under a legislative proposal

A senior official with Tesla Motors Inc. said the company would curtail its investment in Indiana if legislators pass a law prohibiting it from selling cars directly through its own dealerships, which it has been doing in the state since 2013.

The Palo Alto, California-based electric car manufacturer operates a sales outlet on the north side of Indianapolis at the Fashion Mall, and it plans to open a service center later this year. The company does not use franchise dealers anywhere in the world, officials said, and does not intend to do so in the event Indiana mandates them.

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