Teslas are ready to make a big entry in the Indian market and the first showroom in Mumbai is now complete. The high profile showroom is a 4,000 sq ft ground floor showroom and has been leased at Rs 900 per sq ft per month or roughly Rs 35 lakh per month. This makes it one of the most expensive commercial real estate deals in India. Elon Musk’s electric vehicle company has been getting ready to expand to India for years, and the latest developments indicate that Tesla’s growth plans are beginning to pick up speed. In addition to the Mumbai showroom, Tesla is said to be planning to open another showroom in Delhi’s Aerocity, a prime commercial area near Indira Gandhi International Airport. The push for Tesla’s India launch got a boost after Prime Minister Narendra Modi met Elon Musk during a visit to the U.S. Days after Modi’s return from the U.S., Tesla posted job openings for 13 positions in Mumbai and Pune, indicating its readiness to set up base in the country. How Much Will a Tesla Cost in India? The policy changes in India have recently made it more convenient for Tesla to enter the market. Import duties on premium electric cars that are more than $35,000 were cut from 110 per cent to 15 per cent, which reduces Tesla’s cost in the Indian market. The Tesla Model 3, according to CLSA, is likely to be priced between ₹35-40 lakh on-road, including taxes and insurance. However, Tesla is up against the established Indian EV manufacturers like Mahindra, Hyundai and Maruti Suzuki. If Tesla prices its Model 3 20-50% higher than local EVs like Mahindra XEV 9e, Hyundai e-Creta and Maruti Suzuki e-Vitara, its impact on the market may be limited. People are also speculating that Tesla may introduce a more affordable entry-level EV in India, which may be priced below ₹25 lakh. This move could further increase competition and may affect domestic automakers. Shareholder nervousness about Tesla’s potential to capture market share in the Indian EV sector has been linked to Mahindra and Mahindra’s recent stock decline. The Mumbai showroom of Tesla is a significant step in the company’s India journey. With strong government support, policy changes and growing demand for EVs, it is expected that Tesla will continue to grow in India in the years to come.
Tesla Showroom Set to Open in Bandra Kurla Complex
