img

In a major milestone, Elon Musk’s Tesla has locked in the location for its first showroom in India, marking a significant step towards its much-anticipated entry into the Indian market. According to a report by Reuters, the electric vehicle (EV) giant has signed a lease agreement for a showroom in Mumbai.

Where is Tesla’s First Showroom in India?

  • The showroom will be located in Maker Maxity, a prime business and retail complex in Bandra Kurla Complex (BKC), close to Mumbai airport.
  • Tesla has leased the property for five years, with the agreement starting from February 16, 2025.
  • The rental cost for the first year is approximately $446,000 (₹38.8 crore) for a 4,003-square-foot space, which is nearly the size of a basketball court.
  • The rent will increase by 5% annually, reaching around $542,000 in the fifth year, according to CRE Matrix, an analytics firm that provided the lease document to the news agency.

The decision comes just weeks after Tesla CEO Elon Musk met Indian Prime Minister Narendra Modi in the United States, fueling speculation about Tesla’s aggressive India expansion plans.

Tesla in India: Showroom Locations & Expected Launch Timeline

Apart from Mumbai’s Bandra Kurla Complex, Tesla has also shortlisted a location for a showroom in New Delhi (Aerocity).

When will Tesla open its showrooms in India?

  • While an official date is yet to be announced, reports suggest Tesla may begin retail operations in India by April 2025.
  • The company had been scouting for showroom locations since late 2023, following earlier delays in entering the Indian market due to high import taxes and regulatory challenges.

Why is Tesla entering the Indian market now?

  • India is the third-largest auto market in the world, making it an attractive destination for global EV makers.
  • Tesla had earlier delayed its entry in 2022, citing steep import duties and unclear government policies on EVs.
  • Recent policy shifts, along with Elon Musk’s positive engagement with PM Modi, have reignited Tesla’s India plans.

Why Donald Trump Opposes Tesla’s India Entry?

Interestingly, former US President Donald Trump has openly criticized Tesla’s decision to expand into India.

Trump’s Concerns:

  • In an interview with Fox News, Trump slammed India’s high import tariffs on foreign cars, calling them “unfair” to the US.
  • He argued that Tesla setting up a factory in India to bypass these tariffs would give India an advantage over the US.
  • “Every country in the world takes advantage of us, and they do it with tariffs… It is impossible to sell a car, practically, in India," Trump remarked.

Tesla vs. India’s Tariff Policy:

  • India imposes around 100% import duty on fully built electric vehicles, which Musk has long opposed.
  • Musk believes these high tariffs protect domestic EV players like Tata Motors, making it difficult for Tesla to compete in the market.
  • However, India has indicated it may lower import duties for companies willing to set up local manufacturing, which Tesla is reportedly considering.

Tesla Hiring in India: A Big Hint at Expansion

Tesla has started hiring for multiple roles in India, signaling its commitment to entering the market.

Tesla Job Openings in India (Mumbai Suburban Region):
Sales & Customer Support: Store Manager, Inside Sales Advisor, Consumer Engagement Manager
Service & Repairs: Service Advisor, Service Technician, Service Manager, Parts Advisor
Operations: Business Operations Analyst, Order Operations Specialist, Delivery Operations Specialist
Customer Support: Customer Support Supervisor, Customer Support Specialist

These job postings confirm Tesla is actively preparing for its Indian operations, beyond just showrooms and leasing agreements.

What’s Next for Tesla in India?

With Tesla’s Mumbai showroom confirmed and hiring in progress, here’s what to expect next:

Retail Launch in 2025: Tesla is likely to officially start selling EVs in India by mid-2025.
More Showrooms: Apart from Mumbai and New Delhi, more showroom locations are expected in Bangalore, Hyderabad, and Chennai.
Local Manufacturing Plans: If India offers lower import duties, Tesla may consider building a factory in India, similar to its China Gigafactory.
Pricing & Models: Tesla is likely to import initial models (Model 3, Model Y), but pricing will be a key challenge due to taxes.

Is India Ready for Tesla?

Tesla’s long-awaited entry into India is finally happening, with Mumbai hosting the country’s first showroom. While hurdles remain—especially import tariffs and local manufacturing discussions—the company’s leasing deals and job recruitments suggest a serious commitment to the Indian market.