Tesla officially opened its first showroom in India this week, but the excitement among early supporters is notably muted. Vishal Gondal, a longtime Tesla enthusiast who prebooked a Model 3 mere hours after reservations opened in April 2016, visited the Mumbai showroom on opening day — yet says he has no plans to buy a Tesla now.
“I felt a little bit underwhelmed,” said Gondal, CEO of fitness-tech startup GOQii. His enthusiasm dimmed further after a frustrating 2023 ordeal chasing Tesla for a refund of his $1,000 reservation fee.
“Trying to get the money back was a problem. And the joke was, had we invested that money in Tesla IPO stock, we would have made more money,” he remarked.
Early Believers Disappointed by Delays and Lack of Communication
Gondal is among many early Indian Tesla backers who never received their Model 3s, despite paying reservation fees nearly a decade ago. Some only recently secured refunds, shortly before the company’s formal launch.
Varun Krishnan, who runs the tech blog FoneArena and also prebooked early, called the launch delay “frustrating,” especially since other Musk ventures like Starlink gained regulatory approval faster.
Neither Gondal nor other loyalists received invitations to the showroom opening or any updates from Tesla about the launch.
“When Apple launched their showroom nearby, the buzz was entirely different. Tesla’s launch felt cold,” said Gondal.
Amit Bhawani, founder of tech blog Phoneradar, echoed this sentiment, describing Tesla’s entry as “the coldest launch.” Bhawani only received his refund after posting a critical video online in 2020, which resonated with many others in a similar position.
Concerns Over Service, Charging Infrastructure, and Pricing
Many early backers remain hesitant to buy Tesla vehicles due to unclear after-sales service plans and limited Supercharger infrastructure in India. Tesla plans eight charging stations split between Delhi and Mumbai before deliveries begin in Q3, but it’s uncertain if this will suffice.
“I’ve grown more prudent in my vehicle purchases over the years. Practicality matters more now than just the Tesla brand,” Krishnan said.
Pricing is another sticking point. Tesla’s Model Y starts at ₹59.89 lakh (~$68,000) in India, roughly 50% higher than in the U.S., due to import tariffs since production is from China.
The premium car market in India is just 1% of total sales, with EVs holding about 10% within that segment. Tesla’s high pricing limits its reach to affluent buyers.
Musk’s Political Stance Influences Indian Consumer Perception
Recent political developments surrounding Elon Musk, including his alignment with President Trump, have cooled enthusiasm among Indian consumers.
“Elon Musk’s image has changed; he’s become more polarizing, and Tesla’s shine has dimmed,” said Kunal Khattar, EV investor and founder of AdvantEdge Founders.
Khattar noted that Tesla’s once “world-saving” reputation has faded, impacted by Musk’s political involvement and related controversies.
India’s EV market remains small but growing. Tata Motors leads domestic electric sales, while MG Motor, in partnership with JSW Group, gains traction.
Luxury automakers like BMW, Mercedes-Benz, and Audi compete within the same premium segment as Tesla, making Tesla’s debut unlikely to shake up their market share in the near term.
“Tesla’s price point won’t disrupt existing luxury brands, but it will help raise EV awareness,” said Abhik Mukherjee, automotive analyst at Counterpoint.
Tesla’s arrival may broaden consumer consideration for EVs, even if its direct sales remain modest.
What The Author Thinks
Tesla’s India launch is less about immediate sales and more about planting a flag in a promising market. However, years of delays, poor communication, and political controversy have cooled even its most loyal early adopters. High prices, limited local production, and uncertain infrastructure mean Tesla’s impact will be gradual. Still, its presence could accelerate India’s broader EV adoption by pushing competitors to innovate and invest more heavily. For now, Tesla serves as a catalyst rather than a market leader.
Featured image credit: Can Pac Swire via Flickr
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