Tesla is currently testing Model 3 and Model Y in India, the former is expected to launch sometime next year
The entry of Tesla into the Indian market is a highly discussed topic in the automotive industry. There have been lots of ifs and buts regarding Tesla’s future in India even after the company officially registered its local entity in the country as Tesla India Motors And Energy Private Limited earlier this year.
In the latest development, the American EV brand has completed homologation and four of its electric car models in India. In addition, the Tesla Supercharger unit has now been spotted in India, image of which has been shared on Twitter by Tesla Club India.
Tesla in India
The approval document certified that Tesla’s electric cars are roadworthy in the country. Although names of models homologated have not been revealed yet, the Twitter handle thinks that the four car models registered are variants of Model 3 and Model Y. Both these cars have been spotted testing on Indian roads on multiple occasions in recent months.
However, we believe that Tesla might have homologated all four products in its global lineup, the other two being Model S and Model X. Confirmation on this is expected from Tesla in the coming time. The American EV manufacturer has brought its CCS2 Supercharger Units to India which are awaiting installation at the moment.
Challenges Ahead
From the image, they appear to be V2 150kW Superchargers. Again, no confirmation could be sought at the moment. All said, gaining a foothold in the Indian car market won’t be easy considering electric vehicles still account for only 1 percent of the country’s annual car sales.
Sparse charging infrastructure is the key reason for this slow market although governments at both central and state levels along with various auto OEMs have been pushing for charging stations across countries. India’s tax regime is another speed breaker that discourages premium car brands from launching their EVs in India.
Reduction in Taxes
Earlier this year, Tesla CEO, Elon Musk tweeted that import duties in India are among the highest in the world and the nation treats clean energy vehicles the same as IC engine-powered cars, which isn’t consistent with its climate goals. Tesla has openly come out and sought additional subsidies from the Central government in India for its upcoming electric cars in India which will most likely be offered as Completely Built Units (CBUs) initially.
However, this has resulted in mixed reactions across the country. Recently, Union Minister of Road Transport and Highways Nitin Gadkari, at the India Today Conclave 2021, claimed that upon its launch in India, the Tesla car will cost Rs 35 lakh. While this wasn’t a formal announcement, it seems that the Government of India has had some discussions with the American EV manufacturer regarding this issue.
