NEW DELHI– Tesla’s long-anticipated entry into India has fallen short of expectations, with the U.S. electric vehicle maker receiving just over 600 orders since opening bookings in mid-July, according to multiple reports.
The figure is strikingly low compared to Tesla’s global scale, where it sells the same number of cars in roughly four hours. The company now plans to ship between 350 and 500 cars to India this year, with the first batch from its Shanghai factory expected to arrive in early September.
Analysts said high sticker prices, ongoing trade tensions, and shifting geopolitical dynamics have hurt demand. Tesla CEO Elon Musk’s clash with U.S. President Donald Trump and the absence of tariff relief in U.S.-India trade talks further dampened prospects. Trump’s recent move to impose a 50 percent duty on Indian exports, citing New Delhi’s oil trade with Moscow, has dimmed hopes for a breakthrough on auto tariffs.
Tesla’s global sales have also slowed, slipping 13 percent in the last quarter and raising concerns about a second straight year of decline.
In India, steep import duties push the cost of Tesla’s entry-level Model Y to over Rs 60 lakh—nearly triple the average EV price of Rs 22 lakh in the country. Electric vehicles currently account for just over 5 percent of total car sales in India. In the premium bracket, only about 2,800 EVs priced between Rs 45 lakh and Rs 70 lakh were sold in the first half of 2025.
That leaves Tesla fighting for a thin slice of the market, where Chinese rival BYD has gained ground. BYD sold more than 1,200 units of its Sealion 7 SUV in the first half of the year despite tariff barriers. With an ex-showroom price starting at Rs 49 lakh, the Sealion 7 enjoys a pricing edge over Tesla. (Source: IANS)
