Tesla is set to open its first showrooms in the country this July, beginning with Mumbai, followed by New Delhi. The move marks the formal entry of the world’s most recognized electric vehicle maker into the third-largest automobile market, as it seeks new growth opportunities amid declining sales in China and Europe.
According to people familiar with the matter, the company has already shipped its first batch of vehicles — the Model Y rear-wheel drive SUVs — from its Shanghai factory. Supporting infrastructure is also being put in place, with Tesla importing Supercharger components, accessories, and spares from the US, China, and the Netherlands.
“The debut will end a years-long on-again, off-again saga over Tesla’s entry into India,” with the breakthrough coming after Elon Musk met Indian Prime Minister Narendra Modi earlier this year.
While five Model Y units have arrived in Mumbai, they were declared at ₹2.77 million ($31,988) and drew over ₹2.1 million in import duties, highlighting India’s steep 70% tariff on imported EVs. Sources suggest the final sticker price may exceed $56,000, making affordability a key challenge in a market where premium cars form less than 2% of new vehicle sales.
Tesla is expanding local operations by hiring across teams and leasing warehouse spaces in Karnataka and Gurugram. Weekly visits from global Tesla executives signal a strong commitment to capturing India’s emerging EV segment.
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