Tesla previously requested that the Indian government reduce the duty on imported cars. In this year’s financial budget, the import duty has been decreased from 125 percent to 70 percent. The company also plans to lower the prices of its cars to compete with BYD.
Elon Musk’s Tesla is rumoured to be making its way into the Indian electric vehicle (EV) market after facing several challenges, including difficulties with local manufacturing, regulations, and high taxes. Recent news suggests that Tesla is planning to launch its cars in India soon, starting with some imported models expected to arrive by April. They have also found potential locations for their first showrooms, likely in Delhi and Mumbai.
Tesla India expected price
According to reports, the first Tesla cars available in India will mostly come from their factory in Berlin. In the past, the company has been actively pushing for better policies and lower import taxes to make their cars more accessible. The company aims to sell their initial model for under USD 25,000, which is around Rs 22 lakh, to compete with other brands like BYD. Currently, Tesla’s cheapest model—the Model 3—sells for about USD 40,000, which is roughly Rs 35 lakh.
New Tesla showrooms in India
Plans are in motion to open two Tesla showrooms in India, one in Aerocity, Delhi, and the other in Bandra Kurla Complex (BKC), Mumbai, with those locations expected to start operating soon. This effort is part of Tesla’s broader plan to hire staff for its Indian operations, including service technicians, customer service roles, and delivery specialists.
On the financial side, the Indian government recently lowered the basic customs duty on imported vehicles priced above USD 40,000 from a whopping 125 percent to 70 percent. This change might make it easier for companies like Tesla to sell their cars in India. However, US President Donald Trump had previously criticised the high import taxes in India, which could affect American car sales in the market.
While Tesla hasn’t officially confirmed plans to manufacture cars in India yet, reports indicate that they intend to buy components worth over USD 1 billion from India this year, with possibilities for even more sourcing in the future.
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