Musk's Tesla enters India in 2021, still remains in test mode

New Delhi, Dec 2 A year has gone by since Tesla CEO Elon Musk announced he is finally entering India. For the rich and famous eagerly awaiting the arrival of Tesla cars, the arduous wait continues owing to the import duty tussle between Musk and the government amid repeated "come and manufacture/assemble your cars here" calls from the top ministers.

Tesla in 2021 was busy testing Model 3 at several locations, but concrete steps are yet to be taken to finally roll out the most coveted electric car for its fans in India.

Last month, Union Minister for Road Transport and Highways, Nitin Gadkari, informed that Tesla car would cost about Rs 35 lakh in India.

"This indicates that both Tesla and the government have a mutual interest in it. Tesla has already set up a corporate office in Mumbai, secured an office in Bengaluru and is looking for key executives to start operations in the country. We expect Tesla to start selling cars in India around mid-2022," Soumen Mandal, research analyst, IoT, Automotive and Devices Ecosystem at Counterpoint Research, told .

"However, this will materialise if Tesla commits to start manufacturing in India," he added.

With a $39,990 global price tag, Tesla Model 3 may remain as an affordable model in the US but with import duties, it would become unaffordable in the Indian market with an expected price tag of around Rs 60 lakh.

Currently, India levies 100 per cent tax on the imported cars of price more than $40,000

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