Tesla Car Prices in India: Expected Costs & Launch Updates!"

Tesla Car Prices in India: Expected Costs & Launch Updates!"

 Tesla Car Prices in India: Estimated costs of Elon Musk’s electric vehicles, factoring in 110% import duty and 15% GST tariffs.

Tesla Car Prices in India: Tesla is expected to launch its vehicles in three major Indian cities—Mumbai, Delhi, and Bangalore—around the third quarter of the year, according to Bloomberg, citing sources familiar with the matter.

Tesla Car Prices in India: Elon Musk’s EV Giant Gears Up for Launch

Elon Musk-led Tesla is set to make its long-awaited debut in India this year with its first shipment of electric vehicles (EVs). The California-based automaker plans to enter the Indian market by shipping a few thousand cars to a port near Mumbai in the coming months.

According to Bloomberg, citing sources familiar with the matter, Tesla aims to begin selling these vehicles in three major Indian cities—Mumbai, Delhi, and Bangalore—by the third quarter of the year. The individuals discussing these private plans requested anonymity.

Tesla's entry into India marks a significant milestone in the country’s EV sector, potentially reshaping the premium electric car market.

Tesla’s India Entry: Showroom Plans, Hiring Spree & Tariff Talks

Tesla, which already has an office in Pune, is actively scouting locations in Bandra-Kurla Complex (BKC) in Mumbai and Aerocity in Delhi for its first showrooms in India. As part of its expansion, the EV giant has listed at least 13 new job openings, mainly in Mumbai and Delhi, including roles such as business operation analyst, service technician, customer engagement manager, and order operations specialist, according to LinkedIn advertisements.

The choice of Tesla models and their manufacturing source—whether from its factories in the US, China, or Germany—will depend on ongoing tariff negotiations between India and the US. Currently, Tesla vehicles face an import tax of 110%, which could impact pricing and feasibility unless revised.

Tesla has been eyeing the Indian market for years, initially planning a 2022 launch. However, high import tariffs led to a delay. The company’s India plans gained momentum after CEO Elon Musk met Prime Minister Narendra Modi in Washington last week, accelerating discussions on policy and market entry.

Tesla Car Prices in India: Expected Cost of Tesla Models with 110% and 15% Tariffs

Tesla’s potential entry into India has become a major talking point, with pricing expected to be a key factor in its market positioning. Based on current tariff structures, the estimated price of Tesla vehicles in India could start from ₹50 lakh under a 110% import duty or ₹28 lakh if the tariff is reduced to 15%.

For higher-end models, prices could reach ₹2 crore with the 110% tariff or ₹1.10 crore if the 15% tariff is applied. This pricing structure positions Tesla as a premium offering in India’s EV market, competing with luxury automakers while introducing cutting-edge electric vehicle technology to Indian consumers.

Tesla Car Prices in India: Estimated Costs with 110% and 15% Tariffs

As Tesla gears up for its potential entry into the Indian market, pricing remains a crucial factor. Based on current import duties, Tesla vehicles could see significant price variations depending on whether the 110% tariff remains or a reduced 15% tariff is implemented. Below is a breakdown of the estimated prices for different Tesla models in India under both tariff structures:

Estimated Tesla Prices in India

• Tesla Model 2: ₹50.5 lakh (110% tariff) | ₹28 lakh (15% tariff)
• Tesla Model 3: ₹45 lakh (110% tariff) | ₹25 lakh (15% tariff)
• Tesla Model Y: ₹70 lakh (110% tariff) | ₹38 lakh (15% tariff)
• Tesla Model S: ₹1.5 crore (110% tariff) | ₹82 lakh (15% tariff)

With Prime Minister Narendra Modi’s government actively promoting EV adoption, upcoming incentives and tax benefits may play a vital role in making Tesla vehicles more accessible and affordable for Indian buyers. These policy measures could help Tesla gain a stronger foothold in India’s growing electric vehicle market.

Centre Likely to Modify New EV Policy to Attract Tesla and Other Automakers

The Indian government is reportedly working on modifying its electric vehicle (EV) policy to further promote local manufacturing and attract global automakers like Tesla. According to sources, the revised policy may require carmakers to achieve a turnover of ₹2,500 crore by the second year, with the possibility of additional import duty relief to make India a more attractive EV manufacturing hub.

Key Updates on the New EV Policy

• Government to Accept Applications by Mid-March: The updated EV policy is expected to be notified by mid-March, with approvals likely by August 2025. Imports may commence soon after.
• Tesla’s Strategy for India: While Tesla is entering India, it won't manufacture locally immediately. Instead, it will import EVs from its Berlin Gigafactory before gradually increasing local procurement.
• Existing EV Policy (March 2024): The previous EV policy reduced customs duty to 15% under specific conditions, requiring:
  • A minimum ₹4,150 crore investment to set up an EV factory.
  • Production to begin within three years.
  • Domestic Value Addition (DVA) to reach 25% within three years and 50% within five years.

The Future of India's EV Market

Experts predict that India's EV sector could achieve over 40% market penetration and generate $100 billion in revenue by 2030. With Tesla and other automakers eyeing entry, the updated policy could accelerate India’s transition to electric mobility while boosting local manufacturing and investment.