Searching for Tesla in India is not finding customers, for the first time the company has a discount of lakhs in India.

Searching for Tesla in India is not finding customers, for the first time the company has a discount of lakhs in India.

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Tesla Offers Discount on Model Y: Tesla did not get the response as expected in India, inventory increased due to order cancellation. Around 100 Model Y vehicles are waiting for the buyers, due to the continuously increasing inventory, the company has now offered a discount of Rs 2 lakh for the first time. Tesla is now facing tough competition in many markets of the world.

New Delhi. Tesla made a lot of headlines by entering the Indian market last year. The company had big expectations from the Indian market. But, the truth is that Tesla did not get the response in India that the company wanted. The company is also facing the pain of order cancellation. There are also a large number of customers who booked a car and then canceled the order. Due to this the inventory of Tesla India has increased. According to people associated with the matter, due to weak demand, even four months after Elon Musk's company shipped a batch of 300 Model Y sport utility vehicles, about 100 vehicles are still waiting for buyers. To clear the stock of these vehicles, Tesla is giving a discount of up to Rs 2 lakh (about $ 2,200) on some variants. So if you were planning to buy a Tesla car, then this is the opportunity to bring home a new Tesla, that too with a discount of Rs 2 lakh.

Challenge for Tesla
This signals an early challenge for Tesla, which is trying to make a place in the world's third-largest passenger vehicle market with its cheaper model. The company, which debuted in India in July, was hoping that its brand name alone would be enough to increase sales, while the local tax on imported cars is up to 110%. Tesla's slow start in India comes at a time when the company is facing a decline in demand worldwide. Tesla's global sales have declined for the second consecutive year in 2025, due to which the company has lagged behind China's BYD company.

Increasing competition in America, Europe and China
Tesla's share has declined due to increasing competition in America, Europe and China and reduced subsidies in some markets. Even in India, car buyers have not yet fully adopted Tesla, due to its low presence and high prices. In November, the company has given the responsibility of local operations to Sharad Aggarwal, former head of Lamborghini India, so that luxury car buyers can be attracted.

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New Delhi,Delhi

First Published :

January 16, 2026, 12:40 IST

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Not getting customers by searching for Tesla in India, will get discount for the first time

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Elon Musk's Tesla could not establish itself in the Indian auto market! things went wrong here

Elon Musk's Tesla could not establish itself in the Indian auto market! things went wrong here

by with No Comment Car Review

New Delhi. Elon Musk's Tesla entered the Indian auto market last year i.e. in 2025. At one time, the possibility of setting up a local manufacturing plant was also raised. However, Tesla's introduction in the Indian market in less than a year has made it clear that it is very difficult to sell imported premium cars here.

According to a Bloomberg report, Tesla is facing difficulty in selling about one-third of the initial consignment imported into India last year. Even after four months of dispatching about 300 units of Model Y, about 100 vehicles are still lying unsold. To reduce the stock of these vehicles, the company is giving a discount of up to Rs 2 lakh on select Model Y variants. However, Tesla has not made any official announcement regarding this.

Model Y spoiled the game

Tesla's strategy in India currently rests on only one car, Model Y. Its starting price in India is around Rs 60 lakh, which makes it one of the most expensive electric vehicles in its segment. According to Bloomberg, around 600 bookings were received for Model Y in India, but a large number of them have not yet converted into deliveries. Official registration data shows that in the entire year 2025, Tesla has registered only 227 vehicles in India.

Custom duty increased prices

Tesla's biggest challenge is price. In India, custom duty on CBU units can be up to 110%, which more than doubles the price of vehicles. Tesla thought that its brand appeal would offset these costs, but so far this strategy has not proven effective. Indian EV buyers, even in the premium segment, are extremely price and value conscious. This is also a big reason for Tesla not getting customers.

did not get the trust of customers

Apart from the price, Tesla's limited physical presence is also a problem. The visibility of the brand is low due to limited showrooms and lack of local manufacturing. The service network is also limited, due to which customers remain a little worried about maintenance and ownership. The company is trying, but it will take time to build trust.

performance against the market

The interesting thing is that Tesla's slowness is visible at a time when India's EV market is growing at a fast pace. Total EV retail sales are expected to grow 16% to 22.7 lakh units in 2025, while sales of electric passenger cars are expected to jump 77% to 1.76 lakh units. Companies like Tata Motors and JSW MG Motor are ahead in the market on the basis of affordable prices and better local offerings. At the same time, Tesla failed to establish its footing.

future plan

Tesla is trying to build a long-term ecosystem in India, which includes home charging, charging points in malls and hotels, and superchargers. Besides, the company will also have to win the trust of customers regarding the cost of ownership. In the future, if the custom duty is reduced or Tesla starts local production, then the company's position will be strengthened.

(Ram Mohan Mishra)

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