Overview
- Tesla CFO Vaibhav Taneja confirmed the company is carefully evaluating the timing of its India entry due to prohibitively high import tariffs that double vehicle costs.
- India's 100% import duties and luxury taxes have caused consumer anxiety and are a significant barrier to Tesla's market entry strategy.
- Tesla has leased showroom space in Mumbai, imported Model Y vehicles for testing, and posted local job openings, signaling preparatory steps for a potential launch.
- Elon Musk plans to visit India in 2025 following discussions with Prime Minister Narendra Modi on technology collaboration and market entry.
- Ongoing U.S.–India trade talks and India's EV policy, which offers reduced tariffs for manufacturers investing in local production, are critical to Tesla's decision-making process.