September 15, 2025

Tesla begins first customer Model Y deliveries in India

Tesla has officially begun delivering vehicles to customers in India, marking a milestone moment for the automaker as it expands into one of the world’s fastest-growing markets. The handover took place in Mumbai on Monday, with Siddharth Jain, executive director of Inox Group, receiving a Model Y in Stealth Grey.

“This one’s for you @ElonMusk!!! I am beyond thrilled to receive India Inc’s 1st @Tesla! I have been waiting for this precious moment ever since I visited the Tesla Fremont factory in 2017! Dreams do come true!” Jain shared on social media after taking delivery.

If this article about the first deliveries in India sounds familiar, it is because this is technically the second delivery in the country. However, the first was a ceremonial handover to Maharashtra State Transport Minister Pratap Sarnaik earlier this month, while Jain’s purchase represents the first direct delivery to a private customer.

This marks the true start of retail operations in India, a move Tesla enthusiasts in the country have been anticipating for years.

The company entered the Indian market in mid-July with its first showroom in Mumbai’s Bandra Kurla Complex. Shortly after, it expanded to New Delhi, opening a second store at Indira Gandhi International Airport, and its first Supercharger station.

The Tesla Model Y carries a starting price about twice as much as the electric SUV costs in the U.S. These high costs are largely driven by India’s steep import duties—currently 110% on fully imported vehicles priced over US$40,000. Tesla imports the Model Y into India from Giga Shanghai.

Those tariffs have been a key factor behind Tesla’s delayed entry into the Indian market. While the Indian government has offered lower duties for automakers that establish local production, Tesla has so far chosen not to build vehicles in the country. India’s Minister of Heavy Industry confirmed earlier this year that the automaker has no plans to set up domestic manufacturing, at least in the near future.

The tariffs and high prices have also led to a muted response to Tesla’s launch in the country. According to a report earlier this month, around 600 orders have been placed since Tesla opened sales in July, although that number has nearly doubled since then.

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