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    Home»Business & Economy»Tesla Faces Fresh Challenges As It Seeks Momentum In India
    Business & Economy

    Tesla Faces Fresh Challenges As It Seeks Momentum In India

    psdkBy psdkNovember 28, 2025No Comments2 Mins Read
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    New Gurugram Hub Signals Renewed Push

    Tesla opens its biggest Indian sales and service hub while grappling with slow demand in the country. The Gurugram centre blends a showroom, charging points and after-sales support in one location. Dealership data shows the company sold just over 100 cars after its heavily promoted July debut. People aware of internal discussions say Tesla aims to strengthen India’s EV ecosystem to revive sales momentum. The company offers no direct response regarding the low figures. Reports state that bookings slightly exceeded 600 units by mid-September.

    Competitors Advance While Tesla Stalls

    Reviewed dealership data shows only a small share of bookings turned into sales once deliveries began in September. Rival brands like BMW, BYD and Mercedes Benz report strong progress supported by festive buying and tax reductions. Tesla pursues a three-part strategy to boost adoption, expand charging networks and improve customer experience. Experts say high taxes and slow EV uptake still restrict India’s wider market growth. Tesla also faces resistance due to the steep upfront price of its models.

    Company Promotes Lower Ownership Costs

    At the Gurugram launch, India head Sharad Agarwal says buyers can save up to two million rupees over four years on fuel and maintenance, equal to a third of the price of a Model Y. He explains that software updates handle most service tasks and cut ownership costs. He also highlights that home charging costs far less than petrol. Industry editor Hormazd Sorabjee calls the sales numbers very low but views Tesla’s early phase as strategic. He expects significant room for growth in the coming years.

    Infrastructure Growth Lags Behind Demand

    EVs hold less than 3% of India’s passenger vehicle market, and charging infrastructure grows slowly. The country currently operates around 25,000 charging stations. Tesla enables home charging that adds up to 44 miles of range per hour. The firm also expands its supercharger network, which can deliver about 170 miles in 15 minutes. India’s weak sales reflect broader global softness across Europe, China and the United States.

    Global Concerns Influence India Strategy

    Tesla reports record quarterly revenue of $28bn, a 12% increase from last year, but profits fall 37% due to tariff costs and research spending. In India, Elon Musk shows little interest in local production and continues an import-led approach despite incentives announced last March to attract global EV manufacturers.

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