India's EV policy, which offers import tax cuts for foreign automakers investing in the country, will restrict them from using funds spent on charging infrastructure for such relief, increasing their car manufacturing,

A CLSA report has highlighted that with a reduced tariff rate of 15-20 per cent, Tesla price in India will be more expensive than its domestic competitors like Maruti Suzuki. The company will need to open a manufacturing unit in India to keep up with competition.

Tesla in the coming months would be launching its models in Delhi and Mumbai. Tesla Inc. has officially begun its hiring process in India, marking a significant step towards its long-anticipated entry

Tesla Inc. is set to make its long-awaited entry into India by shipping a few thousand cars to a port near Mumbai in the coming months, according to people familiar with the matter, marking its long-awaited debut in the world’s most populous country.

Under India’s EV policy, Tesla could benefit from reduced import duties of 15% on up to 8,000 units annually if it invests over Rs 4,150 crore in local production.

The U.S. President does not support Tesla building cars in India, the world's third-largest car market. Foreign brands, however, only compete for about a third of overall demand—and total EV sales are vestigial, growing to just 100,000 vehicles last year.

Tesla is in the spotlight amid speculation about its manufacturing plans in India. While states race to woo the electric car giant, Elon Musk stays silent.

Even if the Indian government reduces import duties to less than 20%, Tesla's cheapest electric car could still cost between ₹35-40 lakh, as per global capital markets firm CLSA. Currently, Tesla's cheapest car—Model 3—costs around $35,000 (approximately ₹30.4 lakh).

Tesla is planning to start selling these cars in three major India cities, including Mumbai, Delhi, and Bangalore around the third quarter of the year, the people, who asked not to be identified discussing private plans,

The government is likely to prioritise integrating India into Tesla's global value chain rather than insisting on immediate local manufacturing