By Kavita Mistry 
Tesla, led by Elon Musk, has officially entered the Indian electric vehicle (EV) market with the launch of its flagship Model Y SUV. The company inaugurated its first Indian showroom in Mumbai’s Bandra–Kurla Complex (BKC) today and has listed two variants on its Indian website. Tesla is currently importing the fully built units (CBUs) from China, with domestic manufacturing still under evaluation.
Two Variants, High Price Tags
Tesla India is offering the Model Y in:
- Base Rear-Wheel Drive (RWD) – ₹59.89 lakh (ex-showroom)
- Long-Range RWD – ₹67.89 lakh (ex-showroom)
These prices reflect a substantial premium compared to Tesla’s US pricing, where the base Model Y starts at around $44,990 (~₹37 lakh). The steep costs often cited are due to India’s roughly 70% import duties and additional logistics expenses.
Mumbai Showroom Opens—Delhi Next
The Mumbai showroom is Tesla’s first physical presence in India, located in the Maker Maxity mall at BKC. Company insiders mention plans to open a showroom in Delhi later this year. The Model Y units have already been transported from Tesla’s Shanghai Gigafactory, along with Supercharger parts, accessories, and spare components.
Range, Performance & Features
According to Tesla’s Indian website, the base RWD version offers an estimated 500 km range, while the long-range version offers 622 km on a full charge. The vehicle accelerates from 0–100 km/h in 5.9 seconds (RWD) and 5.6 seconds (Long-Range), with a top speed of 201 km/h.
Tesla’s signature 15-inch touchscreen, panoramic glass sunroof, electric liftgate, and upcoming Full Self-Driving (FSD) package (at an additional ₹6 lakh) are also highlights of the Indian launch.
Indiatimes
Context: EV Market and Pricing Pressure
India’s EV market remains nascent—EVs made up just 4–5% of passenger vehicle sales in early 2025. Tesla is targeting affluent early adopters, rather than mass-market buyers, due to the premium pricing driven largely by import tariffs.
In contrast, established international markets see Tesla pricing lower by about ₹15 lakh for the same vehicle. Despite the price gap, Tesla’s brand prestige and innovation are likely to attract tech-savvy consumers willing to pay extra.
Competitive Landscape & Infrastructure Plans
Tesla’s primary competition in India comes from premium German automakers like BMW and Mercedes-Benz. Domestic EV players such as Tata and Mahindra currently dominate the more affordable segments.
Reuters
Tesla plans to deploy its own Supercharger network in key urban centers. Initial imports include Supercharger hardware bundled with the vehicles. Local manufacturing is under consideration, with lobbying for reduced import duties underway between Indian and U.S. authorities.
India’s Strategic Role in Tesla’s Global Growth
India is now the world’s third-largest car market, and Tesla’s entry marks a strategic bet on its future EV growth potential. Elon Musk has personally praised India’s tech talent and market potential. The company is following a direct-sales model, rather than relying on third-party dealers.
Tesla’s rollout aligns with broader policy objectives around EV adoption and environmental sustainability, which have seen India offer GST reductions and subsidies to buyers. The long-term success of Tesla in India may depend on effective pricing strategies and charging infrastructure.
Government and Industry Reactions
Maharashtra Chief Minister Devendra Fadnavis welcomed Tesla’s entry and hinted at future aspirations for Tesla R&D or manufacturing in India “at the appropriate stage.” Industry experts believe that Tesla’s presence will accelerate the adoption of EVs among affluent Indian consumers.
What’s Next for Consumers
- Booking Launch: Online bookings start concurrently with showroom opening; deliveries expected in Q3 2025, beginning in Mumbai and expanding to Delhi and Gurugram.
- Charging Network: Upcoming rollout of Superchargers in Mumbai, Delhi, and other major cities.
- Future Production: Discussions are ongoing with officials on import duties and potential assembly or factory setup in India.
Final Take
Tesla’s arrival in India represents a watershed moment for the country’s EV landscape. Despite premium pricing driven by import duties, the Model Y launch and showroom openings demonstrate Tesla’s long-term commitment to India. The real test lies in scaling prices, expanding charging infrastructure, and establishing local assembly.
If Tesla can blend innovation with affordability, it may redefine the urban EV market and catalyse a shift toward sustainable transportation, beginning with India’s wealthiest consumers and expanding outward.