Tesla is set to enter the Indian market with the launch of its first showroom in Mumbai next month, according to a Bloomberg News report. As the company looks to counter slowing sales in Europe and China, India—now the world’s third-largest automobile market—offers a new avenue for growth.
Sources cited in the report indicate that the Mumbai outlet will be followed by a second showroom in Delhi. In preparation, Tesla has already imported supercharger components, vehicle accessories, merchandise, and spare parts from the US, China, and the Netherlands.
The EV giant’s first batch of vehicles for India—Model Y rear-wheel-drive SUVs manufactured at Tesla’s Shanghai plant—has already arrived. The Model Y currently holds the title of the world’s best-selling electric car.
Tesla’s long-anticipated debut in India comes after a breakthrough earlier this year, when CEO Elon Musk met Prime Minister Narendra Modi in the US. This meeting helped resolve years of deadlock over import duties and local manufacturing requirements that had stalled the company’s entry into the Indian market.
According to a Bloomberg News report, Tesla is expected to ship a few thousand vehicles to a port near Mumbai. So far, five Model Y SUVs—manufactured at the company’s Shanghai facility—have already arrived in Mumbai. Official documents reveal these vehicles were declared at ₹27.7 lakh (approximately USD 31,988) and incurred over ₹21 lakh in import duties, in line with India’s 70% tariff on fully built EVs priced under USD 40,000 along with applicable surcharges.
The Model Y is expected to be priced above $56,000 in India before taxes and insurance, though the final price will depend on Tesla’s profit margins and market positioning strategy, according to sources familiar with the plans. In comparison, the same model carries an ex-showroom price of $44,990 in the U.S., and sells for around $37,490 after applicable tax credits.
