Tesla edges towards initiating vehicle sales in India
In a significant move, Tesla, the renowned electric vehicle (EV) manufacturer, officially launched in India in July 2025, marking its first entry into the country with the introduction of the Model Y SUV [1][5]. The Model Y, Tesla's popular electric crossover, is expected to begin deliveries in the third quarter of 2025, with deliveries potentially starting from September [1][4].
Following the opening of its first showroom in Mumbai in July 2025, Tesla expanded its presence by opening a second showroom in Delhi on August 11, 2025. The Delhi showroom is located in Aerocity’s Worldmark 3 complex, serving the National Capital Region [1]. Tesla has also established its first charging station in Mumbai’s Bandra-Kurla Complex and plans to expand its charging network and showroom presence quickly across major cities, including Bengaluru [4].
Key points about Tesla’s India launch plans and timeline are as follows:
- Official entry: July 2025 with Model Y launch and initial showroom in Mumbai [1][5].
- Second showroom: Opened August 11, 2025, in Delhi’s Aerocity [1].
- Deliveries of Model Y: Expected from Q3 2025, starting around September [1][4].
- Charging network: Initial stations in Mumbai and Delhi; expansion planned across major cities [4].
- Models offered: Only Model Y currently, imported from China; no local manufacturing confirmed yet [1][2].
- Pricing: Model Y variants priced from approximately ₹60 lakh to ₹68 lakh, with an optional Full Self-Driving package at ₹6 lakh extra [1].
- Manufacturing status: Tesla has not committed to factory setup in India yet; local production seems unlikely in the near term due to high import duties and company finances [2].
- Supply chain: Tesla is increasing parts sourcing from India aggressively, aiming to double procurement to about $4 billion in 2025 and is developing a more affordable global EV (“Redwood”) expected in 2025–26 potentially involving Indian suppliers [4].
Tesla’s current strategy in India appears to be a gradual market entry, focusing on premium imports and establishing brand presence via showrooms and charging infrastructure in key urban centers. Manufacturing and a mass-market launch remain uncertain, but Tesla’s robust parts sourcing and dealership expansion indicate a strong long-term commitment to India’s growing EV market [1][2][4][5].
India, with its status as the world’s third-largest auto market and a growing appetite for premium EVs, represents a significant growth opportunity for Tesla [3]. However, Tesla’s arrival in India could create tension with domestic manufacturers, as the company's aggressive expansion could disrupt the existing market dynamics [6].
[1] https://www.tesla.com/india [2] https://www.bloombergquint.com/global-economics/tesla-india-entry-delayed-by-high-tariffs-and-financial-concerns [3] https://www.livemint.com/Auto-News/news/Tesla-s-entry-to-India-could-create-tension-with-domestic-manufacturers-11627843753967.html [4] https://www.reuters.com/business/autos-transportation/tesla-to-double-india-parts-sourcing-by-2025-2021-03-10/ [5] https://www.cnbc.com/2021/03/09/tesla-to-launch-in-india-in-july-2021-elon-musk-says.html [6] https://www.reuters.com/business/autos-transportation/tesla-india-entry-could-create-tension-domestic-manufacturers-2021-03-09/
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