Tesla:The world-famous electric car company Tesla is finally stepping into India. The EV giant is all set to open its Indian chapter with the launch of its first showroom in Mumbai by mid-July, shortly followed by another one in Delhi. Tesla is making a grand entry into the Indian car market with this much-awaited step.
Tesla Model Y Will Head the Launch
The Model Y SUV will be the first model to be launched by Tesla in India. According to reports, five Model Y units have been imported from Tesla’s Shanghai facility. These are rear-wheel-drive units, which include the launch of the brand’s product lineup in the country. In addition to the vehicles, Tesla has also imported Supercharger parts and critical spare parts from the US, China, and the Netherlands to help fuel its future sales in the region.
Price and Import Information
The cost of each Model Y unit imported in India is around ₹27.7 lakh, and the import duty on each car is around ₹21 lakh. This brings the overall expense of the imported units to around ₹50 lakh. Even though the final price will be revealed near the official launch, it is anticipated to be at this figure. To put this into perspective, the Model Y costs $44,990 in the US (about ₹39 lakh), and with tax credits, consumers pay around ₹32 lakh.
Government Policy Impact on Tesla’s Entry
Tesla has put its Indian entry on hold for years because of disagreements on local manufacturing and heavy import tariffs. Yet, a breakthrough was made recently when Elon Musk met Prime Minister Narendra Modi in the US. Subsequently, the Indian government unveiled a new EV policy giving lower import tariffs—on the condition that Tesla promises to construct a manufacturing plant within three years in India.
Present Market Scenario in India
India’s electric vehicle market is still in the growing phase and stands at a mere 5 percent of overall passenger vehicle sales. Even at the premium segment, EV sales stand at 2 percent. This creates a pricing issue for Tesla since making the Model Y a value-for-money player will be paramount in its success in India’s price-conscious market.
Supercharger Network and Initial Setup
For hassle-free customer experience, parts of Tesla’s Supercharger network have also been exported to India. These will assist in building a foundational infrastructure that caters to the brand’s electric cars. Foreign accessories and merchandise have also been imported, which shows that the company is in a position to initiate operations in the next month.