As photos and videos of Tesla’s first experience centre being inaugurated in Mumbai’s Bandra Kurla Complex started making waves on the internet, I looked at the computer screen on my desk and wondered’ “Is it a case of too little too late?” One might think that Tesla’s India journey only started about three years ago when the statements from Elon Musk and the Indian government made us believe that the American EV manufacturer might finally start selling cars in India. However, if you have been following the news around Tesla a bit longer, you will know that this is not Tesla’s first attempt to woo Indian customers.
Tesla’s Initial India Plans
Bookings for the Model 3, which is the brand’s least expensive model, were first opened in March 2017. At the time, Tesla was asking for $1000 to reserve a unit of the Model 3. What many of us didn’t notice at the time was that Tesla was accepting bookings from Indian consumers as well. In fact, my editor at the time put money down on one. What happened after that? Well, not much. In peculiar Tesla fashion, the brand didn’t really clarify its intentions on how it was going to sell cars in India, and over time, the bookings were reversed.
In the last three years, Elon Musk and the Indian government have made many statements about Tesla’s entry into India but there has always been one problem. Elon wants the government to reduce the import taxes on EVs which enter the country through the CBU (completely built-up) route, or at the very least, give Tesla a break. The government had been wanting Tesla to set up shop on Indian shores for years now, but it wanted Musk to not just sell cars in India, but make them here as well. With a relatively new factory in China that can fulfill the demand in the Asia region, setting up a new factory in India didn’t make financial sense for Musk. And thus, the matter of Tesla’s entry into India has been stuck in limbo over the last three years, despite the company having previously tested its cars in Indian conditions and having set up a subsidiary company in India to handle the logistics of the entire operation.
Rise of Indian EV Manufacturers
Now let us step back and look at what Indian car makers have been doing at the same time. If we rewind as far back as 2017, you wouldn’t really find EVs in the Indian market. In fact, even three years back, there were limited EVs in the mass market segments and luxury EVs were starting to make an appearance in India. Manufacturers like Mercedes Benz were even building some of their EVs in India. One look at the market today and it feels like India’s car makers, especially Tata and Mahindra have come a long way. Tata has five different electric models, Mahindra has three and even Maruti Suzuki and Hyundai have made EV models specifically for the Indian market. What’s more, the performance of Tata and Mahindra EVs such as the XEV 9e, BE6 and Harrier EV can give Tesla’s Model Y a run for its money.
Now, Indians have a perception that Tesla is a luxury brand. Let me clear that up right now. It is not, especially in the USA where it originated. In fact, it is almost common for new Tesla models to be riddled with quality issues which are then sorted out over time. As far as features are concerned, Tesla models feature a sense of minimalism. The interior feels basic after a point, irrespective of the quality of the materials used. In contrast, Indian manufacturers like Tata and Mahindra have shown that flashy interiors can work on an EV, and furthermore, even BYD interiors feel a class above those of the Tesla. The touchscreen only interface is also a disaster waiting to happen in Indian conditions. For example, the Model Y’s forward or reverse gears can only be selected using the touchscreen. What if the screen conks off? It might not be a problem in the USA where road infrastructure is often wide enough to handle breakdowns. However, if it happens in a city like Mumbai during the monsoon, when water can often enter cars, you will be looking at pure chaos.
Do Tesla Cars Still Hold an Edge?
So, what really makes a Tesla special? In my opinion, there have only been two things. First, the way the Model S has always looked, but that’s a personal opinion. Secondly, and more importantly, it was Tesla’s ability to use the EV architecture of its cars and merge it with the rapidly accelerating technology of the modern times. There are many small features on Tesla’s that remind me of this, but the biggest feature has to be the Full Self Driving or FSD. Coming from someone who finds a naturally aspirated Honda petrol engine revving its guts out paired to a slick operating manual transmission to be really cool, I really thought that FSD was a big breakthrough in car technology. But is it really something that will work in a country like India? After all, Tesla is charging you Rs. 6 lakh extra above the base price of the Model Y for this feature, and it is even waiting for regulatory approvals for this feature to work in India.
But really, Full Self Driving, that too in India. There is no way the Indian government is giving approval for that. FSD will also require that road infrastructure be up to date, traffic signs be installed on all roads and Indian drivers to be ready to see a driverless car next to them on the road. So the Rs. 6 lakh that Tesla is demanding for FSD in India does not feel justified, especially for a feature that might or might not work on Indian roads. If you do happen to be getting ready to book a Tesla, my honest advice would be to just skip it, at least for now.
Tesla’s Supercharger Network
Also, with EVs, there is the issue of charging. In countries like the USA, UK or even the rest of Europe, the American EV manufacturer has a widespread network of superchargers. However, that number is currently at zero in India, however, Tesla will be installing 16 chargers in Mumbai and Delhi each.
The thing is, setting up a charging infrastructure is expensive, and other EV manufacturers in India haven’t really gone down this route. While EV makers do tie up with different companies to let their customers charge EVs at certain charging stations, no car maker in India has taken on the task of setting up its own charging infrastructure. If launching a Tesla in India was hard, maybe setting up the Supercharger network could prove to be even harder.
Should You Buy the Model Y?
With all that said, would I advise anyone to buy a Tesla Model Y in India? The short answer is no and here is why. The Model Y offers no economical, performance or other advantages that can’t be had in other EVs sold in India today at a much lesser cost. So what’s left that makes the Model Y special? In my opinion, it is only the allure of a Tesla badge and nothing else.
Summary
To summarise my opinion on Tesla’s arrival in India, it is a case of too little too late. Had Tesla entered the Indian market when it first launched the Model 3, it would have not only found those who are willing to spend an additional amount of money on EVs, but it would have also played a great role in shaping India’s EV infrastructure. Now, with a regulated environment and a sense of familiarity in place for EVs, a Tesla continues to feel like an outsider. While it might find the odd buyer genuinely excited to own a Tesla and willing to adapt to its peculiarities, Tesla’s arrival does not feel like a big deal anymore
