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Elon Musk's Tesla is set to make its entry into the Indian market on July 15, 2025. The company will inaugurate its first experience centre in Mumbai, located in the Bandra Kurla Complex (BKC).
This marks electric vehicle giant’s initial physical presence in India, with the company expected to commence retail sales through imported vehicles.
As per reports, in June, the company had signed a lease for the 4,000 sq ft retail space in March, close to Apple’s flagship store in the city. The U.S.-based manufacturer already has an engineering hub in Pune, a registered office in Bengaluru, and a temporary office near BKC.
According to Bloomberg News, five Model Y vehicles have already arrived in Mumbai from Tesla’s Shanghai factory. The cars were declared at 2.77 million rupees ($31,988) and attracted more than 2.1 million rupees in import duties, a levy that’s consistent with India’s 70% tariff on fully-built imported cars under $40,000 plus surcharges, the documents show.
As a part of its entry into the South Asian nation, the EV maker reportedly had stepped up hiring and in the past was scouting for showroom sites in both Mumbai and India's capital city, New Delhi.
It is to be noted that Tesla’s India entry has been in the works for years, with the company previously lobbying for lower import duties and policy incentives.
To attract global automakers and accelerate EV adoption, the Indian government has recently announced a reduction in tariffs on high-end cars, including station wagons and racecars, priced above $40,000. The tariff rate has been lowered from 125% to 70%, making luxury imports more accessible. Additionally, scrapped basic customs duties on lithium-ion batteries used in electric vehicles, a move aimed at reducing EV production costs and encouraging domestic manufacturing.