New Delhi: Tesla has received just over 600 orders since opening sales in India in mid-July, falling short of the company’s internal expectations, Bloomberg News reported on Tuesday, citing people familiar with the matter.
The Elon Musk-led EV maker now plans to ship between 350 and 500 cars to India this year, with the first batch arriving from Shanghai in early September, the report said. Deliveries will initially be restricted to Mumbai, Delhi, Pune, and Gurugram, where Tesla currently has a physical presence. Shipment sizes are being determined based on full payments received, as well as logistical feasibility beyond these cities.
In July, Tesla launched the Model Y in India at around $70,000, a price pushed up by the country’s steep tariffs on imported electric vehicles. The EV giant has long lobbied for reduced import duties, but facing excess global capacity and slowing sales, Tesla opted to enter India with imported cars despite high costs.
With EVs accounting for just 4% of overall car sales in India, Tesla is aiming at a small but premium segment of the domestic market. The company expects deliveries to start in the third quarter of 2025.
While India’s road infrastructure has improved in recent years, Tesla faces hurdles ranging from patchy EV charging networks and poor lane discipline to stray cattle and pothole-ridden roads, even in major cities.
Tesla did not immediately respond to Reuters’ request for comment, while Bloomberg’s report could not be independently verified.
