Tesla Opens First Showroom in India
Tesla enters India officially with the launch of its first showroom in Mumbai. This marks a significant step for Elon Musk’s electric vehicle company as it eyes new markets outside the U.S. and Europe.
The showroom was inaugurated by Maharashtra Chief Minister Devendra Fadnavis. It welcomed select visitors on opening day and symbolized Tesla’s serious intent to tap into India’s emerging EV sector.
Although Tesla has shown interest in India for years, it delayed entry due to high import tariffs on electric vehicles. Elon Musk previously called these taxes some of the “highest in the world.”
So far, Tesla has not confirmed plans for a manufacturing plant in India. However, the company may start selling imported models from China. Deliveries are expected to begin in late August.
Model Y to Target Premium Buyers
Tesla’s Model Y will be its first offering in India, with an estimated price of $70,000. This is nearly double its U.S. price after federal tax credits.
Experts say the high cost makes it unlikely to appeal to the mass market. Instead, Tesla will compete with luxury carmakers in India.
Soumen Mandal, a senior analyst at Counterpoint, stated the price may limit demand. He expects Tesla to sell about 500–700 cars in the beginning, dropping to 200–300 units monthly later.
Big Market, Small Start
India is the world’s third-largest car market but still has a small EV sector. Only 3% of all cars sold in 2024 were electric, around 100,000 units.
Even though Tesla enters India now, large-scale success may take time. India has asked global automakers to build locally if they want lower import duties.
In February, Elon Musk met Prime Minister Narendra Modi in Washington. Talks included trade deals and possible tariff reductions on U.S. automobiles.
Tesla’s entry is timely, but gaining traction will depend on pricing, local production, and India’s evolving EV policy.
