Watch | Tesla debuts in India with $70,000 Model Y, showroom opens in Mumbai’s BKC

In a major milestone, Tesla launched its first showroom in India on Tuesday at Maker Maxity Mall in Mumbai’s Bandra Kurla Complex (BKC), unveiling the Model Y SUV with a starting price of around ₹60 lakh ($70,000).

The launch marks Tesla’s long-awaited entry into the Indian market. With global sales slowing, the US electric carmaker is eyeing India’s growing EV potential, despite past criticism by CEO Elon Musk over the country’s high import duties.

The event was inaugurated by Maharashtra Chief Minister Devendra Fadnavis, who hailed Tesla’s arrival as a “statement” move.

“This is more than just an inauguration — it’s a statement that Tesla has chosen the right city and state,” Fadnavis said.
“Maharashtra is the entrepreneurial capital of India. Mumbai symbolises innovation and sustainability. Tesla isn’t just a car, it’s about design and innovation — and that’s why it’s loved worldwide.”

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#WATCH | Tesla is all set to mark its official entry into the Indian market with the launch of its first showroom in Mumbai today

The electric vehicle (EV) giant is opening its India showroom at the Maker Maxity Mall in the city's Bandra Kurla Complex (BKC) pic.twitter.com/6p0EmgrsHS

— ANI (@ANI) July 15, 2025

Fadnavis also expressed hope that Tesla would eventually establish a manufacturing plant and an R&D facility in India.

“In the future, we wish to see R&D and manufacturing done in India, and I am sure at the appropriate stage Tesla will think about it,” he added.

Deliveries by Q3; Tesla targets luxury EV segment

Tesla has started accepting orders for the Model Y on its website, with deliveries expected to begin in the third quarter of this year. Initially, the vehicles will be imported — a move that raises costs due to India’s steep import tariffs, which can exceed 100%.

The Model Y variants on display in Mumbai were manufactured at Tesla’s facility in China, as the US factories don’t currently produce right-hand-drive models required for India.

Tesla showroom, Mumbai. Looking very fly. Can't wait to buy a few cars ASAP. pic.twitter.com/v2Pebmmfmo

— Ankit Jxa (@kingofknowwhere) July 11, 2025

In India, the Model Y rear-wheel drive is priced at ₹6 million ($70,000), while the long-range version costs ₹6.8 million ($79,000). By comparison, the same model starts at $44,990 in the US, 263,500 yuan ($36,700) in China, and €45,970 ($53,700) in Germany.

Tesla’s Full Self-Driving (FSD) feature will be available in India for an additional ₹6 lakh, with promised software updates to gradually reduce the need for driver involvement.

Tesla to compete with BMW, Mercedes in India

With this launch, Tesla is targeting India’s premium electric vehicle segment — a niche that currently accounts for just 4 per cent of overall car sales in the country, the world’s third-largest automobile market. The company will compete with luxury brands such as BMW and Mercedes-Benz, rather than local players like Tata Motors and Mahindra.

Talks are still ongoing between India and the US over reducing import duties as part of a broader trade agreement. Tesla has consistently lobbied for lower tariffs to improve affordability and market access.

Heavy security was deployed at the Mumbai showroom opening, where media and dignitaries gathered to witness the landmark event.