Is Tesla Opening A Dealership In India?

Tesla and India: It’s a relationship that’s been more “Will they, won’t they?” than a Bollywood rom-com. But things might be changing. A new job opening on Tesla’s official careers page for India has sent the rumour mill into overdrive. The positions? Based in Mumbai. The roles? Well, a number of them, but speculation is rife that this could be linked to Tesla setting up its first Company-Owned, Company-Operated (COCO) dealership in India. If true, this could be an interesting moment for the Indian automotive scenario.

The job listings also hint that this dealership could be a 3S facility - Sales, Service, and Spares, ensuring that Tesla owners in India receive full-fledged support without relying on third-party service providers. This aligns with Tesla’s global retail model, where it directly manages its sales and after-sales network to maintain consistency in customer experience.

Tesla’s India Timeline: A Rollercoaster Ride

Before we start picturing a swarm of Model Ys clogging up Bandra traffic, let’s rewind a bit. 

Tesla has flirted with the Indian market for years. Back in 2021, they set up an R&D centre in Bengaluru, a move that made techies and EV enthusiasts giddy with excitement. Not long after, Tesla began testing its cars in India. The Model S, Model 3, and Model Y were all spotted rolling on Indian roads, undergoing evaluation for local conditions and homologation requirements.

Despite these positive steps, Tesla’s plans seemed to stall. Talks with the Indian government regarding import duties and local manufacturing remained stuck in neutral. Tesla wanted lower tariffs on imported EVs, while the government insisted on local production. The Government was ready to reduce the import taxes and allow some relaxations, but that came with their set of terms and conditions to support the Indian manufacturing industry. For instance, the companies are required to set up local manufacturing facilities with a minimum of $500 million in investments. With both sides holding their ground, it seemed like the dream of seeing an official Tesla showroom in India was fading.

After that, they had another facility set up in Pune, close to the heart of the automotive industry in India, hinting at a vendor setup process with sightings of Teslas around the region. But that too died down around by mid-2024.

Modi-Musk: A Meeting That Sparked Speculation

Cut to February 2025, and Tesla was back in the headlines, thanks to a high-profile meeting between Elon Musk and Prime Minister Narendra Modi during the latter’s USA visit, the first time after Donald Trump’s second stint began. 

The discussions reportedly touched upon Tesla’s India entry, manufacturing, and the larger EV ecosystem. Musk later remarked that Tesla was serious about India and that an announcement was imminent. Since then, there have been whispers about Tesla scouting locations for a manufacturing plant and even negotiating tax breaks.

Had a very good meeting with @elonmusk in Washington DC. We discussed various issues, including those he is passionate about such as space, mobility, technology and innovation. I talked about India’s efforts towards reform and furthering ‘Minimum Government, Maximum Governance.’ pic.twitter.com/7xNEqnxERZ

— Narendra Modi (@narendramodi) February 13, 2025

Now, this new job listing in Mumbai has added fuel to the fire. If Tesla is hiring for a Mumbai-based role, could this be the beginning of an official sales and service network? If it’s indeed a 3S facility, that would mean Tesla is preparing a long-term strategy for the Indian market, ensuring customers have seamless access to sales, maintenance, and spare parts.

Tesla in India: A Playground For The Elite

While Tesla’s official entry has been in limbo, India’s wealthiest have already been enjoying these electric marvels. Over the years, there have been multiple private imports of Teslas, often finding their way into the garages of the country’s elite. The Ambani family, known for their enviable car collection, has been spotted with multiple Tesla models, including the Model S and Model X. Other high-net-worth individuals and business tycoons have also privately imported Tesla EVs, despite the hefty import duties.

These private imports indicate a strong demand for Tesla in the luxury segment, with enthusiasts willing to pay a premium even without official dealerships or service centres. If Tesla finally sets up shop in India, it could significantly expand its customer base beyond just the elite, making its vehicles more accessible to a broader audience.

What a Tesla Dealership Means for India

If Tesla is indeed setting up its own dealership, it could signal a major shift in India’s EV market. For starters, it would eliminate the uncertainty that has surrounded Tesla’s India entry. With a proper sales and service setup, Indian customers would no longer have to rely on grey-market imports or aftermarket support. A COCO dealership would bring Tesla’s signature customer experience, including direct vehicle ordering, over-the-air software updates, and Tesla’s much-hyped service model.

Tesla has always maintained that it wants to manufacture in India, but it needs a strong customer base to justify such an investment. A dealership would allow Tesla to test the waters, gauge demand, and then take the next step, i.e. setting up a Gigafactory!

Will Tesla Finally Take the Plunge?

While the speculation is exciting, Tesla has yet to officially confirm its India plans. However, the signs are too strong to ignore. A new job opening in Mumbai, the previous testing of Tesla cars in India, and a high-profile Modi-Musk meeting all point toward something big.

If Tesla does set up its first dealership in India, it could be an important point for the country’s automotive scene. Not only would it bring one of the world’s most coveted electric cars to Indian shores, but it would also push other manufacturers to up their game. 

The EV race in India might just be about to get a whole lot more exciting.

What are your thoughts on Tesla’s entry on the Indian shores? Let us know in the comments!