Tesla Launches Model Y Sales in India Following Mumbai Showroom Opening

According to foreign media reports, Tesla is set to start selling its Model Y in the Indian market following the opening of its showroom in Mumbai on July 15. The company’s website lists the Model Y pricing in India at approximately $69,770, making it one of the highest in its major markets. Specifically, the rear-wheel drive version of the Model Y is priced at 6 million rupees (around $70,000), while the long-range rear-wheel drive version costs 6.8 million rupees. In comparison, the starting price of the Model Y in the United States is $44,990, in China it is 263,500 yuan (about $36,700), and in Germany, it is €45,970 (about $53,700). The tariffs and related taxes in India may exceed 100%, significantly raising the cost for consumers. Tesla is expected to begin delivering vehicles in India in the third quarter, marking its entry into the world's third-largest automotive market. The company is targeting the high-end electric vehicle segment in India, which currently only accounts for 4% of the overall car sales in the country. Tesla's main competitors in India will be German luxury car brands like BMW and Mercedes-Benz, rather than local mass-market electric vehicle producers such as Tata Motors and Mahindra. Despite CEO Elon Musk's long-standing criticism of India's high import tariffs, Tesla is adopting a strategy of selling imported vehicles in India amid global factory overcapacity and declining sales. On July 15, the first Tesla showroom in India opened in Mumbai, with police maintaining order at the scene. Media reporters gathered outside the office building housing the showroom, and Devendra Fadnavis, the Chief Minister of Maharashtra, also attended the opening ceremony. He expressed hope that Tesla would consider establishing R&D and manufacturing operations in India at the right time. The showroom features Tesla's signature minimalist neutral tones, with the Model Y display vehicle covered in black and gray, obscuring parts of the body from view. Access to the showroom is strictly managed, and no Tesla fans or onlookers were seen nearby. Reports indicate that the vehicles displayed in Mumbai were manufactured at Tesla's Shanghai Gigafactory, as the U.S. factory currently does not produce right-hand drive cars for the Indian market. Tesla's website shows that the on-road price for the Model Y in Mumbai is 6.1 million rupees, with a booking deposit of 22,220 rupees. The company’s Full Self-Driving (FSD) feature requires an additional payment of 600,000 rupees, with promises of gradually achieving a 'minimal human intervention' driving experience through subsequent software updates. Although this feature still requires driver oversight and is not fully autonomous, Tesla indicates that the system will continuously upgrade via over-the-air (OTA) updates. Tesla has long lobbied for a reduction in car import tariffs in India, but officials are still negotiating with the Trump administration in the U.S., hoping to lower tariffs under the framework of a bilateral trade agreement.