Tesla Snubs India’s Factory Plans, Bets Big on Showrooms Instead

           Elon Musk’s Tesla has thrown a curveball at India’s electric vehicle (EV) dreams


. Union Heavy Industries Minister H.D. Kumaraswamy dropped a bombshell this week, revealing that Tesla isn’t keen on building cars in India, opting instead to roll out flashy showrooms in Mumbai and Delhi. As India pushes its “Make in India” agenda, what’s behind Tesla’s pivot, and can it win over Indian buyers?

BBC LIVE


On June 2, 2025, Kumaraswamy announced that Tesla has no interest in joining India’s ambitious Scheme to Promote Manufacturing of Electric Passenger Cars (SPMEPCI). Launched in March 2024, this policy slashes import duties from 70-100% to 15% for companies investing $500 million in local EV production. While Mercedes-Benz, Hyundai, and Kia are jumping in, Tesla’s staying on the sidelines.

BBC LIVE


Instead, Tesla’s gearing up to open swanky showrooms in Mumbai’s Bandra Kurla Complex and Delhi’s Aerocity by late 2025, each spanning 4,000-5,000 square feet. The plan? Sell imported EVs, likely from its Berlin factory, with job postings for sales and support roles signaling a launch is near.

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