Tesla Officially Enters India: Electric Future Arrives in Mumbai — But at a Shocking Price

Tesla Officially Enters India: Electric Future Arrives in Mumbai — But at a Shocking Price
India’s electric mobility journey shifted gears today as Tesla, led by Elon Musk, officially launched in the country. The American EV giant opened its first showroom in Mumbai, finally turning years of speculation into reality.
At the heart of this launch is the popular Model Y electric SUV, introduced in two variants for Indian buyers: the Standard RWD and Long Range RWD. Bookings have already begun in Mumbai, with plans to soon expand sales to Delhi and Gurugram. Deliveries are expected to start in the third quarter of 2025.
Why Is It So Expensive?
The biggest surprise: the steep price tag. The Tesla Model Y’s on-road price in India starts at ₹61.07 lakh, while the top variant costs ₹69.15 lakh. In stark contrast, the same vehicle sells for around $44,990 (about ₹38 lakh) in the US — a difference of more than ₹20 lakh.
This sharp price jump is mainly due to India’s high import duties on completely built units (CBUs), which can go up to 70% for foreign-made cars. Since Tesla is importing the Model Y from its Shanghai Gigafactory, additional costs like logistics, customs duties, and port handling further push up the final price for Indian buyers.
What Do You Get for the Price?
Despite the premium, Tesla’s Model Y aims to offer a complete experience. Both variants come with a 60kWh Lithium Iron Phosphate (LFP) battery, offering an estimated range of about 500 kilometers on a single charge.
Performance-wise, the SUV impresses, accelerating from 0–100 km/h in just 5.6 seconds — making it one of the quickest in its class.
Key features include:
- Over-the-air (OTA) software updates
- Rear-seat touchscreen entertainment
- Electronically adjustable seats
- Tesla’s premium sound system
- Seamless integration with the Tesla mobile app
A Milestone for India’s EV Landscape
While Tesla’s debut comes at a high cost, it represents a major milestone for India’s growing EV ecosystem. It also reignites debate around India’s high import duties and the need for policies encouraging local EV manufacturing.
If Tesla eventually sets up production in India, it could drastically reduce prices, making electric vehicles accessible to a wider audience. For now, the Model Y is positioned as a premium choice, symbolizing both innovation and aspiration in India’s shift toward sustainable mobility.