Tesla Set to Launch First Mumbai Showroom Next Month, Will Sell China-Made EVs: Report

Tesla to Open First Showroom in Mumbai, Begins India Push with China-Made Model Y SUVs.

Tesla is set to make its long-awaited debut in India by opening its first showroom in Mumbai next month, Bloomberg News has reported. The launch marks a significant step as Elon Musk’s electric vehicle (EV) company eyes expansion in the world’s third-largest auto market amid slowing sales in China and Europe.

According to sources cited by Bloomberg, the Mumbai showroom will be followed by a second outlet in Delhi. Tesla has reportedly imported supercharger components, car accessories, merchandise, and spare parts from the US, China, and the Netherlands in preparation.

The company’s first batch of vehicles—rear-wheel-drive Model Y SUVs manufactured at its Shanghai factory—has already arrived at a port near Mumbai. The Model Y is currently the world’s best-selling electric car.

India Entry Follows Musk-Modi Meeting

Tesla’s India entry comes after years of stalled negotiations over tariffs and local manufacturing. A breakthrough reportedly followed Elon Musk’s meeting with Prime Minister Narendra Modi in the US earlier this year.

In February, Bloomberg reported Tesla’s plan to ship several thousand units to India, with the first five Model Y vehicles already arriving in Mumbai.

Premium Pricing Likely for Model Y

Customs documents reviewed by Bloomberg show the Model Y was declared at ₹27.7 lakh (approx. $31,988) and incurred over ₹21 lakh ($25,000+) in import duties—consistent with India’s 70% tariff on fully built EVs priced under $40,000.

Sources suggest the Model Y could be priced upwards of $56,000 (excluding taxes and insurance) in India, though Tesla is expected to finalize pricing based on market positioning and profit margin strategy. For comparison, the same model sells for around $37,490 in the US after taxes.

Tesla’s India debut ends a long-standing impasse and signals a potential shift in the country’s EV landscape, currently dominated by domestic players like Tata Motors.