Tesla set to launch first Mumbai showroom next month, to offer China-made EVs: Report

In a landmark move, Tesla is all set to make its much-awaited debut in the Indian market by opening its first showroom in Mumbai next month, according to a Souece. The entry of the Elon Musk-led electric vehicle giant comes at a time when Tesla seeks to offset slowing sales in Europe and China by tapping into the world’s third-largest automobile market.

Tesla’s Mumbai Debut: A New Chapter in India

Tesla’s initial showroom in Mumbai will serve as its gateway to Indian customers. Following this launch, Tesla reportedly plans to open another showroom in Delhi, strengthening its foothold in India’s premium EV space.

To prepare for its debut, Tesla has already imported a range of items including supercharger components, car accessories, merchandise, and spares from the US, China, and the Netherlands. These imports signal the company’s commitment to offering a complete Tesla experience in India, from sales to after-sales support.

First Tesla Cars Arrive in India

According to sources cited by Bloomberg News, the first set of Tesla cars for India—specifically the Model Y rear-wheel-drive SUVs—have already landed in Mumbai. These vehicles have been shipped directly from Tesla’s Shanghai Gigafactory in China.

The Model Y holds the title of being the world’s best-selling electric car, known for its blend of performance, practicality, and cutting-edge technology. Its arrival marks the beginning of Tesla’s strategy to introduce globally successful models to Indian buyers.

Price and Duties: Tesla’s Model Y to Carry Premium Pricing

Documents reviewed by Bloomberg reveal that at least five Model Y SUVs have arrived at the Mumbai port. These cars were declared at approximately ₹27.7 lakh (USD 31,988) each. However, due to India’s high import duties—including a 70% tariff on fully-built vehicles priced under USD 40,000 plus surcharges—the cars attracted over ₹21 lakh in import levies per unit.

Industry insiders suggest that once Tesla factors in margins and positioning strategies, the Model Y may retail for over USD 56,000 (₹46 lakh approx.) in India before taxes and insurance.

For perspective, the same Model Y sells for USD 44,990 ex-showroom in the US, and around USD 37,490 post applicable taxes. This means Indian buyers will pay a significant premium, primarily due to import duties and related costs.

The Road to India: Musk and Modi’s Breakthrough Meeting

Tesla’s India entry comes after years of stalled discussions over import duties and local manufacturing requirements. The breakthrough was achieved following a meeting between Elon Musk and Prime Minister Narendra Modi in the United States earlier this year.

This engagement paved the way for Tesla’s strategy of starting with imports and showrooms, while longer-term plans for local assembly or manufacturing remain under discussion. Earlier reports indicated Tesla’s intent to ship a few thousand vehicles to India initially to gauge market response.

What’s Next for Tesla in India?

With its Mumbai showroom set to open soon and another in Delhi on the horizon, Tesla is likely to focus on:

• Establishing a network of superchargers

• Building after-sales service infrastructure

• Assessing demand for its premium EVs

• Exploring potential sites for local production

Given the rising interest in EVs in India’s luxury segment, Tesla’s entry is expected to shake up the market and spur competition among both global and domestic manufacturers.