Tesla’s Big Push In India Is Stalling, With Just 100 Cars Sold In Months

Nov 28

Tesla wants to take on one of the biggest car markets, but it hasn’t worked out great so far.

In July, the American company finally opened its first showroom in India, the world’s third-largest market, but in a little over two months of operations there, the EV maker sold just over 100 cars, according to dealership data quoted by the BBC.

Until mid-September, the company received a little over 600 orders for the Model Y–the sole Tesla model officially sold in India–but only a small number of these reservations have converted into sales. That’s despite the fact that more expensive cars from BMW, BYD and Mercedes-Benz reported strong sales thanks to tax cuts.

For what it’s worth, Tesla only started delivering the Model Y to Indian customers in September, but it opened the order books in July, when its first “Experience Center” welcomed fans and customers alike in Mumbai.

“Their [sales] numbers are low by any standard,” Hormazd Sorabjee, editor of Autocar India, told the BBC. “But I think that’s strategic. They have just put their foot in the door in India. And they have good potential to increase sales here in the time to come.”

A larger hub opened recently in the northern city of Gurugam, combining a showroom, a charging hub and after-sales services under the same roof. This new location should raise brand awareness in India, but the fact of the matter is that Tesla has a lot more work to do to raise its sales numbers.

For starters, the Indian-market Model Y costs a whopping $70,000, which is luxury car money. What’s more, there are just two Supercharger DC fast charging stations in the country, one in Mumbai and the other in New Delhi. This should change in the future, as the company is planning on adding more locations.

Earlier this year, Tesla reported a drop in profits despite record third-quarter revenue and deliveries, thanks in no small part to American buyers who rushed to get the expiring $7,500 federal tax credit.

Source:Tesla’s Big Push In India Is Stalling, With Just 100 Cars Sold In Months