Tesla has opened its first showroom in India, marking the electric vehicle maker’s long-anticipated debut in the world’s third-biggest automotive market.
In the Bandra-Kurla Complex, an upscale business centre in the financial capital Mumbai, the showroom will serve as Tesla’s flagship retail and experience outlet as the company introduces its EV line-up to Indian customers.
Tesla’s entry to India comes after years of delays and policy friction, marking a pivotal expansion in a fast-growing consumer base while global sales are plunging and the company faces challenges in its two core markets, China and the US.
Sales of Tesla electric cars fell sharply from April to June as boycotts over tech billionaire Elon Musk’s political views continued keeping buyers away.
For India, Tesla’s entry signals rising investor confidence and strengthens its move towards clean mobility.
The country’s nascent electric vehicle market made up a little more than two per cent of total car sales in 2024.
But the government wants to change that and increase the electric vehicle share to 30 per cent by 2030.
Tesla will begin by importing and selling its popular Y model cars in India.
The base price would be 6.78 million rupees ($A120,000) for the long-range, rear-wheel drive vehicle, according to a presentation by the company during the showroom launch on Tuesday.
By comparison, the price tag is about $US44,990 ($A69,000) in the US without a federal tax credit.
The rear-wheel drive will sell for about six million rupees in India.
Delivery was expected to start from the third quarter, Tesla officials said.
Tesla’s higher pricing is likely to make its cars unaffordable for most Indians.
Tesla will compete mostly with German luxury car makers such as BMW and Mercedes Benz Group AG, and not budget Indian players such as Tata Motors and Mahindra & Mahindra.
The luxury car market makes up just about one per cent of total vehicle sales
The debut by American EV giant, however, would bring in world-class technology to the country, auto analysts said.
Prime Minister Narendra Modi’s government has wooed Tesla for years for its global brand value and to boost the country’s clean energy endeavours.
Australian Associated Press is the beating heart of Australian news. AAP is Australia’s only independent national newswire and has been delivering accurate, reliable and fast news content to the media industry, government and corporate sector for 85 years. We keep Australia informed.
