Tesla Finally Enters India — Nine Years After Elon Musk First Teased Its Debut

Tesla has made its long-awaited introduction into India pinch nan opening of its first showroom — 9 years aft CEO Elon Musk first teased nan move successful April 2016 and pursuing years of delays and shifting timelines successful 1 of nan world’s largest automotive markets.

Tesla calls nan showroom an “Experience Center” and has located it Maker Maxity Mall successful Bandra Kurla Complex, nan cardinal business territory of Mumbai. The 4,000-square-foot halfway features nan Model Y successful rear-wheel thrust (RWD) and long-range RWD versions, imported from Shanghai.

The Model Y RWD comes pinch a value tag of ₹59,89,000 (approximately $68,000), while nan agelong scope RWD is priced astatine ₹67,89,000 (approx. $79,000). The institution is besides offering a afloat self-driving add-on astatine ₹600,000 (approx. $7,000).

Indian customers tin order nan Model Y starting coming for registration successful Delhi, Gurugram, and Mumbai by paying a non-refundable deposit of ₹22,220 (approx. $260). Deliveries for nan RWD version are expected to statesman successful Q3, while nan long-range RWD is slated to deed nan roads successful Q4.

Ahead of deliveries, Tesla has committed to establishing 4 charging stations successful some Mumbai and Delhi, including Supercharger posts and destination chargers. The institution is besides expected to unfastened its 2nd shop successful Delhi later this period arsenic portion of its description successful India.

The automaker besides plans to import cars from its installation successful Berlin erstwhile nan India-EU free-trade statement is signed, TechCrunch has learned.

India is nan fourth-largest automotive marketplace aft China, nan U.S., and Japan — pinch nearly 6 cardinal vehicles produced annually, according to Indian authorities information — but nan state has a comparatively mini EV footprint, primarily captured by two-wheelers. The state plans to person 30% of each its automotive income beryllium electrical by 2030, though.

In 2016, Musk announced plans to motorboat Tesla’s Model 3 successful India and teased its section Supercharger network. The institution moreover took $1,000 deposits from its imaginable Indian customers, which it recently refunded arsenic nan motorboat was uncertain.

Musk has discussed Tesla’s plans respective times successful one-on-one meetings pinch Prime Minister Narendra Modi and his elder officials. During nan first fewer years of negotiations, nan Indian authorities sought to person and moreover push Tesla to found its mill successful nan state to initiate operations.

In 2023, India’s commerce curate Piyush Goyal said Tesla was readying to nearly double its constituent sourcing from India to up to $1.9 cardinal that year. Modi and his officials besides held conversations pinch Tesla executives astir establishing nan company’s manufacturing beingness successful nan country. However, Musk remained unconvinced astir mounting up a section mill anytime soon, sources told TechCrunch.

Tesla has hired respective group successful India and still has tens of jobs listed successful cities including New Delhi, Pune, and Mumbai. In nan meantime, nan institution does not person a circumstantial caput successful India. In May, Prashanth Menon, who was overseeing India operations, resigned from his position and reportedly stepped down arsenic president of Tesla India’s board.

Tesla CFO Vaibhav Taneja is presently overseeing India operations, pinch a fewer section committee board responsible for policy, sales, and quality resources, TechCrunch has learned.

In 2024, New Delhi cut import taxes connected EVs, allowing Tesla to bring successful cars from overseas markets astatine little levies. Tesla had agelong raised concerns astir India’s 100% import tariffs connected cars, but successful its April net call, Taneja said nan institution still saw nan marketplace arsenic “very hot” contempt nan hefty duties. Last month, India’s curate for Heavy Industries, H.D. Kumaraswamy, confirmed Tesla’s plans and stated that nan institution is “not willing successful starting manufacturing successful India.”

The India motorboat comes arsenic nan Austin-headquartered institution is facing a reliable clip successful awesome markets, including China, Europe, and nan U.S. Local players, including BYD, which besides operates successful India and is among nan fistful of electrical car companies catering to Indian buyers, are eating into Tesla’s marketplace stock successful China.

Overall, Tesla’s China-made EV income increased 16% year-over-year — which includes some home income successful China and exports to Europe and different markets. But nan company’s Q2 deliveries declined 6.8% year-over-year — nan 3rd consecutive quarterly driblet — arsenic section competitors gained marketplace share.

Similarly, Tesla’s income successful Europe declined by astir 28% year-over-year successful May for nan 5th consecutive month, contempt wide European car income expanding by 1.9%. The institution besides knowledgeable a 13% year-over-year diminution successful its U.S. sales for nan first six months of this year, reaching 255,000. Moreover, Tesla’s world income dipped 13% to 443,956 units successful nan 2nd quarter.