Tesla to Launch First Showroom in India This July with China-Made Model Y
Tesla Finally Enters India: First Showroom Launch in July, Model Y to Debut
After years of anticipation and policy hurdles, Tesla is officially entering the Indian market, with its first showroom opening in Mumbai in July 2025, followed shortly by a second showroom in New Delhi. The first model to be launched will likely be the Tesla Model Y, one of the company’s best-selling EVs globally, which has already been spotted testing on Indian roads.
Tesla's Strategic Entry into India
India is the world’s third-largest auto market, and Tesla’s move comes at a time when it is struggling with slowing EV sales in China and Europe. The Indian expansion was greenlit following a February 2025 meeting between Elon Musk and Prime Minister Narendra Modi, which helped resolve long-standing issues around import duties and local manufacturing requirements.
Tesla Model Y: What to Expect
- Model: Tesla Model Y (Rear-Wheel Drive)
- Powertrain: Expected single-motor RWD (imported variant)
- Range: ~455 km (WLTP-estimated, subject to local adaptation)
- Expected Price: Over $56,000 (~₹48.5 lakh) before taxes and duties
- Origin: Imported from Tesla’s Giga Shanghai factory in China
- Other imports: Supercharger parts, accessories, and merchandise from China, USA, Netherlands
Tesla is initially not setting up local manufacturing, instead leveraging China’s production for India-bound models. The Model Y’s premium pricing may limit mass adoption initially, but it will establish Tesla’s brand in the premium EV segment.
Showroom Rollout Plan
- Mumbai showroom – Opening in July 2025
- New Delhi showroom – To follow shortly after
- Supercharger Network – Tesla has already started importing components to build India's first supercharger stations in major metros.
Price Barrier vs Brand Pull
The expected price tag of ₹48+ lakh (before taxes) could pose a challenge in India’s price-sensitive EV market, especially when rival premium EVs like the BYD Seal and Volvo XC40 Recharge are priced more competitively. However, Tesla’s tech reputation, global brand appeal, and early mover status in the premium EV space may still attract urban, affluent buyers.
What’s Next for Tesla in India?
If Tesla sees positive response from the Model Y launch, the brand may expand its lineup with Model 3 or future sub-$30K compact EVs, provided local assembly plans move forward. Tesla's long-term growth will likely depend on local manufacturing incentives and expansion of India's EV charging infrastructure.
Conclusion: Tesla's Bold India Bet Begins
Tesla’s July launch marks a historic moment for India's EV sector, setting the stage for global EV tech and luxury standards to take root in one of the world’s fastest-growing auto markets. Whether Tesla’s pricing will limit its reach or establish a new EV luxury segment remains to be seen — but one thing is clear: India is finally on Tesla’s map.