It’s official. After nearly a decade of waiting, negotiations, and regulatory challenges, Tesla has entered the Indian market. The world’s most iconic electric vehicle brand opened its first showroom in Mumbai on July 15, 2025, marking a pivotal moment for India’s mobility landscape.
The journey has been long, but the moment is finally real. On July 15, 2025, Tesla opened the doors of its first Indian showroom at Maker Maxity Mall in Mumbai’s Bandra Kurla Complex (BKC), one of the country's most upscale business hubs. With it, India becomes the newest frontier for Tesla’s global electric revolution.
And this is just the beginning. A second showroom is set to open in New Delhi by the end of July, followed by more locations as demand rises.
India’s auto sector is undergoing a rapid shift, and Tesla’s entry is both a symbol and catalyst for that change. The timing couldn’t be better:
Government policies are becoming increasingly EV-friendly.
Public interest in clean mobility is at an all-time high.
Urban consumers are looking for high-tech, sustainable alternatives to traditional vehicles.
Tesla is selling a vision of futuristic, sustainable transportation, one that aligns with India’s evolving economic and environmental priorities.
Tesla’s entry might feel sudden, but it has been years in the making. Here’s a quick snapshot of how the EV giant finally crossed the Indian border:
2016: Tesla started accepting Model 3 pre-orders in India. Thousands of enthusiastic Indians booked the car, but the launch was later postponed.
2017: Elon Musk publicly pointed out the crippling 100% import duties on luxury EVs as a major barrier.
2021: Tesla registered Tesla India Motors and Energy Pvt. Ltd. in Bengaluru, sparking fresh hope. However, no real movement followed.
2022–2023: Discussions surfaced about building a $2 billion factory in Gujarat or Maharashtra. Tesla also began testing cars in India and hiring in Mumbai.
2024: India introduced the SPMEPCI policy, slashing EV import tariffs to 15% under specific conditions, making the Indian market more viable.
2025: Tesla ramps up local recruitment and officially launches its showroom in Mumbai on July 15.
Tesla’s first offering for India is the Model Y, a mid-sized electric SUV that combines technology, design, and performance. Globally, it’s one of Tesla’s best-selling models.
In India, six Model Y units have already arrived from Tesla’s Shanghai Gigafactory and will be the first cars sold to Indian buyers.
Base Price (before duties): Approx ₹27.7 lakh
Final Price (after import duties): Over ₹50 lakh
Official Website Price: $69,770 (₹58 lakh)
While expensive by Indian standards, the Model Y is being marketed as a premium lifestyle choice rather than just a means of transport.
India isn’t an easy playground, especially when it comes to pricing. While Tesla is globally known for cutting-edge tech and style, Indian consumers are highly value-conscious.
And yet, there’s a clear and growing segment that Tesla is targeting:
Affluent urban professionals
Tech-forward entrepreneurs
Green-conscious consumers
Status-driven buyers seeking innovation and style
Tesla doesn’t have to sell millions to make an impact. Even importing 8,000 units a year (as allowed under the new EV policy) gives the brand enough space to build aspirational value while planning its next move.
Tesla’s launch would likely not have been possible without the Strategic Promotion of Manufacturing and Electric Vehicles Policy for Clean India (SPMEPCI) introduced in March 2024.
Here’s what the policy offers:
15% import duty (down from 70-100%) for EVs priced above $35,000.
EV companies must invest ₹4,150 crore ($500 million) in India.
Local production must begin within 3 years.
25% local value addition in 3 years, and 50% in 5 years.
Annual cap: 8,000 imported units for five years.
This policy gives companies like Tesla the incentive to enter quickly while committing to long-term local manufacturing.
So far, Tesla is tight-lipped about setting up a local factory. While India wants EV makers to produce domestically, Tesla’s usual approach is to test the market via CBUs (Completely Built Units) before committing to big investments.
That said, if Tesla can prove its market in India, the company may consider setting up a Gigafactory here within the next few years, unlocking better prices, more models, and thousands of jobs.
India is seeing a surge in EV adoption, and Tesla’s entry is expected to accelerate this trend. Consider this:
EV penetration in India is still below 3%, but expected to hit 10% by 2027.
Tata Motors, Mahindra, MG, and BYD already offer competitive electric options, many under ₹20 lakh.
Cities like Delhi, Mumbai, Bengaluru, and Hyderabad are expanding their EV infrastructure rapidly.
Tesla brings brand power, global attention, and technological credibility to the market. That’s likely to force competitors to step up their game and push governments to improve charging infrastructure.
Tesla’s India presence won’t just be about selling cars. Eventually, the company could bring in:
Tesla Superchargers across major Indian highways
Autopilot and AI tech for Indian roads
Energy products like solar roofs and Powerwalls
Collaboration with Indian tech/startups for localised innovation
In short, Tesla could act as a magnet for EV innovation in India, attracting global interest and creating opportunities for Indian businesses in the clean-tech space.
Tesla’s roadmap for India is likely to unfold over the next 24–36 months. Here’s what to watch:
New showroom in Delhi by July-end
First batch of deliveries expected from August 1
Possible future launches of Model 3, Cybertruck, and Tesla Energy products
Local manufacturing announcements, if sales hit targets
Tesla’s India entry is not just about cars. It’s about policy innovation, infrastructure readiness, and a growing consumer appetite for the future of mobility. For India, this marks a leap toward cleaner transportation and global recognition in the EV space. For Tesla, it’s a bold move into one of the most complex but high-potential markets in the world.
As the showroom lights up in Mumbai and the first customers take their delivery soon, one thing is clear: India’s EV journey just got electrified.