Tesla, which is the world’s most famous electric car manufacturer is finally coming to India. And if we listen to the reports, in the month of April, they can open their showrooms in India.
In today’s time, Delhi and Mumbai and many other places are looking for space for their showrooms.
And what exactly is going on behind the scenes, what is going on now and what can happen, let’s talk about it in this video.
Why Tesla Wasn’t Coming to India
First of all, why wasn’t Tesla coming to India? Because the import duty in India takes up to 100%. You import an electric car to India. And the Indian government had told Elon Musk that if you want to sell a Tesla car in India, then you set up a manufacturing unit in India. You start making your car in India.
And after that, you can sell your car in India, in which you will get to see the lower taxes. But he said that it would be a little expensive to make it in India. Why don’t I get a car made from the factory outside and sell it in India? So he said, you can do that too.
But in return, you will have to pay a 100% tax here. That is, if a Tesla car is worth 30 lakhs, then it will be worth 60 lakhs in India.
And how many people in India would like to pay 60 lakhs for a car worth 30 lakhs? And because of this problem, because of all these distractions, the entry into Tesla’s India has been delayed for many years.
New Policy and Reduced Taxes
We got the solution for this last year, where it was said that if a company wants to sell its cars in India, then it can sell it. But it will be 8000 units per year. And the taxes that will be left for them in the beginning, were reduced by 100% and only 15% were done.
But there is one thing to think about, that in return, the company will have to invest about $500 million in India. This can also be R&D. Some work will have to be done for manufacturing.
Some construction will have to be done in India. A factory will have to be built where they can make their car here. This was a simple rule. And for this, applications will also be started in India after a while.
Tesla’s Planned Launch in India
But there is one thing left. If I talk about Tesla, Tesla’s story is still going on here. Tesla is going to bring their cars to the US and foreign markets in India. But there is a surprising thing. Tesla can bring a Tesla car worth 21 lakhs here in India.
It looks very interesting to see and hear. But let me tell you one thing behind it. The Tesla car that will come to India will not be made in India today.
It will be made in the Berlin factory. And these people are going to import their cars from the Berlin factory. Even the rumored Tesla car that is running will not be made in India. But this will be the cheapest electric car from Tesla, which they will take to India and sell.
But the biggest thing is that Tesla’s entry in India has been so late that now Tesla has no sense here that these people capture the Indian market.
Competition in the Indian EV Market
Because if you look at the Indian market in 2025, then the electric vehicle market has already become hot here.
If I talk about Auto Expo 2025, then many companies have showcased their electric cars here. Like Maruti is coming with its eVitara with electric cars. With this, Hyundai has showcased its Creta electric. And if we talk about a company like Tata, then it already has a full portfolio ready.
In which Tata Punch comes, Tata Nexon comes, Tata Carve comes. And in cheap cars, you can also see Tata Tiago. And that’s not all. A company like Mahindra has showcased cars like BE6 and XEV.
And already its deliveries are also going to start in India. And if you look at it, most of the electric cars that are available in the Indian market, their price has gone below Rs. 20 lakh.
Even one of the most popular electric cars sold in India, their price is less than Rs. 10 lakh. Like India’s one of the most popular electric car, MG Comet, which is sold here. MG Windsor comes with it.
It is sold here. And MG is going to bring its MG Select, a premium brand in India. Where they will sell their more expensive cars here.
Concerns Over Tesla’s India Offering
But one thing to think about is, the speed at which the market for electric cars in India has become ready, now Tesla wants to take an entry here.
And the truth is that Tesla has bought a car for Rs. 20 lakh or Rs. 21 lakh. But will it bring all the features in the car that it is known for? Because Tesla’s cars have a lot of features.
And all those things come in their premium cars. And it doesn’t look like that at all. If Tesla brings its cheap car in India, And the cheapest Tesla car available in India is around Rs. 35,000.
And even if they bring it, its price in India will be around Rs. 30-40 lakh. And it will be a sedan car. And we still don’t know how Tesla will perform on Indian road conditions.
Because even today, Tesla cars are made with the Western market in mind. Tesla cars in India are still not tried and tested.
We will even have to see how their road clearance is. Because you know how the roads in India are. And whether they can be successful on those roads or not. And when there is a lot of competition in the market and people have a lot of options.
Then it is a very difficult thing. And maybe Elon Musk and Tesla’s team also know this. That it is not even for them to crack the Indian market.
That’s why they just want to sell their car in the Indian market. What is the response of the market? And after that, we will decide whether to make our cars in India or not.
BYD: China’s Contender
But if we talk about its comparison. So there is a company that has its eyes on the Indian market very quickly.
And the name of that company is BYD. Which is called Build Your Dream. This is a Chinese company. And in this Chinese company, there are multiple Chinese electric car companies.
But you have to notice one thing. The technology of this car company is more advanced than Tesla even today.
Even the biggest innovation BYD has is their blade cell technology. Which is being used in Maruti’s eVitara today.
And the other Maruti cars to come will also use the same cell technology.
Even the BE6 car shown by Mahindra will also use the same blade cell technology. And I am telling you a simple thing. These are the cells that are being used here. Whose specialty is that they are good energy dense. They can store energy well.
But if they are punctured or damaged, it will easily catch fire. So from the perspective of safety, BYD has worked here. And it took many years to make their cell and cars.
BYD’s Struggle to Localize
I would like to tell you one thing. For many years now, BYD wants to open its manufacturing plant in India. But they have not been able to open it yet.
Because the Indian government has not given it permission. And it is looking for different joint ventures. How to partner with a company in India and bring their cars to India.
MG did the same. MG was also doing something like this. So they partnered with JSW group. Because of which MG company was able to bring its foreign cars to India. And partner with an Indian company.
But BYD is also trying to do this. But it is causing a lot of restriction. Because the Indian government is afraid. If a company like BYD is giving entry to India. So that the Indian car market does not become the same as the Indian smartphone market.
Because in the mobile phone space, 90% of the Chinese companies are here. And the dominance of Chinese companies. And this dominance should not happen in the auto industry. That’s why it is being stopped even today.
That’s why Tata and Mahindra are getting such car companies. So that they can make international level products in India. But BYD is already getting its cars in India. These cars are very expensive.
But still they are selling their cars in India. If you have ever noticed. Then their cars are used in fleets. Where their cars are used as taxis. Along with this, one of their famous cars is BYD. Which you can see in 30-35 lakhs. Which looks exactly like Tesla Model 3.
And the same features they bring. And there is no need to tell that. On a global level, in the matter of market share. A company like BYD has also beaten a company like Tesla.
BYD Electric Car are Cheap
If we talk about BYD. They can give an electric car for less than 10 lakhs. Which is the dream of many people today. You can get a high quality car for less than 10 lakhs. This car can be created by a company like BYD.
But still that company is not giving up. Look at Tesla. Which is trying to reduce the rate of taxes in India. So that we can sell our cars from outside. And a company like BYD. Even though they are Chinese. They are trying to get their entry in India.
They are ready to do everything. So this is also a perspective. And we have to admit that in the whole world. BYD has a lot of advanced technology. But the good thing is that BYD does not keep all the technology with them.
They are also sharing it with other manufacturers. So that they can also make their better cars here. So this is also going on.
First-Mover Advantage Lost
However, let me tell you one thing. Tesla’s entry in India is really late. If Tesla had come 5 years ago. They could have done a lot. They could have revolutionized India’s EV space. After this, Maruti’s entry is happening.
All other companies are slowly taking entry. And when other companies are taking entry. The first mover advantage of Tesla. He has gone here. And even if Tesla comes to India. It will sell only because of its brand name.
But I don’t think that because of the product. He sold so much here.
American company will run with American philosophy. But other companies will also be there to cut it in India. But one thing is good.
In India, you will see better technology and better cars. And electric cars. We had a dream of many cars. But when good cars will come to India. And when a competition will come. That is also a reason.
Charging Infrastructure: The Missing Piece
However, this is also a thing to see. How they work on charging in India. There is still work to be done on charging infrastructure.
Where all other companies are thinking. How to implement this thing. That is a problem that is still to be solved. And if you want to make a company like Tesla in India. If you want to make yourself successful.
Then you have to bring your superchargers. You have to build its network. But it doesn’t look like Tesla has such a plan. If you bring a charging revolution in India.
Then it can be successful. If you bring a supercharger. Where the problem of charging is solved.
Else, bringing your normal car. There will be no benefit in bringing it. Most people will use a supercharger. And will use a home charger. So that thing is not made here.
Conclusion
Let’s see what is the story of Tesla ahead. We are waiting for a few months. Tesla’s showrooms will also open in India.
Tesla’s cars will also be seen on Indian roads. And there will be a lot of hype in the beginning. Will Tesla be able to create a revolution in India?
The electric vehicle revolution that has been created in the US and other places.
Or will there be a decrease in India? Or companies like BYD and Chinese companies will disrupt the Indian market just like in the smartphone space.
So these are some things, let’s see what’s left here. But yes, this space is also getting very expensive for electric vehicles. It looks very exciting to see.
