Tesla To Debut India Showrooms In July With China Made Model Y

(MENAFN- KNN India) New Delhi, Jun 21 (KNN) After years of anticipation, Elon Musk's Tesla is poised to officially enter the Indian automotive market by launching its first two showrooms in July, with outlets planned for Mumbai and New Delhi.

Initial preparations are already underway. A convoy of five rear‐wheel‐drive Model Y SUVs has arrived in Mumbai from Tesla's Gigafactory in Shanghai.

Alongside the vehicles, shipments include Supercharger hardware, spare parts, vehicle accessories, and branded merchandise sourced from the United States, China, and the Netherlands.

Each imported Model Y was declared at approximately Rs 27.7 lakh (~USD 32,000), but Indian import duties-70 per cent customs plus further cess-tacked on over Rs 21 lakh, pushing landed costs far beyond their base prices.

As a result, Tesla is expected to price the Model Y at over USD 56,000 in India-significantly higher than the US ex‐works price of USD 44,990 (USD 37,490 after US incentives).

India's EV market penetration remains modest, representing just over 5% of new passenger vehicle sales, with luxury EVs comprising under 2 per cent of that segment.

Tesla's success will hinge on its ability to appeal to the niche of affluent buyers in major metro areas.

Beyond showrooms, Tesla is investing in its local ecosystem: leasing warehouse space in Karnataka and Gurugram, expanding hiring across retail, policy, and charging infrastructure teams, and mobilising personnel from its global operations to finalise showroom setup.

This launch follows a pivotal meeting earlier this year between Musk and India's Prime Minister Narendra Modi, which reportedly resolved longstanding hurdles around import duties and potential local manufacturing.

(KNN Bureau)

MENAFN21062025000155011030ID1109704346