MUMBAI: After two of its predecessors—General Motors and Ford—failed to make a dent in the Indian market, not once but twice, a third American auto major—Tesla—is trying its luck. The only difference is that the world’s richest man Elon Musk’s auto venture is testing the electric mobility space and not the traditional ICE engine space.
Yes, after years of blowing hot and cold, Tesla has formally entered the country with a single model—the Model Y—that too with just one entry variant, which claims to be the world's best selling car and not just an electric car.
The moot question is that at a price of Rs 60 lakh for an entry model, why should somebody go for a Model Y when at the similar price range they have other choices from German majors Merc and BMW with better features as well? The price is Rs 59.89 lakh for the standard rear wheel drive which will be available sometime this quarter offering 500 km range, while the long-range rear wheel drive at Rs 67.89 lakh with a 622 km range will be available in the December quarter—both prices ex-showroom, Mumbai)
It may be noted that General Motors made two attempts to make it big here—first in the late 1940s selling CBUs and then in the mid-1990s when they set up a plant in the country. But both attempts failed and the company quit India in the first decade of 2000. Similar was the fate of Ford, which also made huge investments in its Chennai plant in its second attempt but failed to make a mark here despite having some successful models like the Endeavour, Ecosport and Ikon.
Whether Tesla will succeed or will follow in the footsteps of its predecessors, only time will tell. But unless it acts on the model choices and the price front, Musk has nothing much to offer as of now barring the storied name.
Tesla's first car here will compete against the likes of entry-level EVs sold by German luxury automakers such as BMW and Mercedes. The Model Y variant comes with a 60 kWh and a larger 75 kWh battery pack here. The 60 kWh battery claims to deliver a WLTP range of 500 km on a single charge, while the long range variant claims 622 km.
India prices are significantly higher than in other markets as prices for the Model Y start at Rs 38.6 lakh ($44,990) in the US, Rs 30.5 lakh in China (263,500 yuan) and Rs 46 lakh in Germany (€45,970). The higher prices here are attributed to import duties and logistics costs.
Elisa Fan, who heads the company's Asia business excluding China, refused to say from where the two models on display on Tuesday at the first experience centre opened here were shipped in or from where the cars will be shipped for sale here. To both the questions, she had a terse answer: “I am not going to answer that.” In fact she did not take any questions at all from the media after her presentation.
However, a Tesla official who wished not to be named told TNIE that both the models have been shipped from the Shanghai factory and those coming in for sale will also be from the same Chinese plant.
She said by the time the car will be available for delivery they will have set up 16 destination charging points and an equal number of super charging points in Mumbai and MMR while in Delhi, where they will be entering shortly, will have 16 super charging points and 15 destination charging points.
Though the Model Y is compatible with self-driving from a hardware point of view, the same won’t be available here till the regulatory landscape allows self-driving vehicles.
Tesla has sold over 8 million vehicles -- all EVs with self-driving options -- across 50-odd markets so far after its entry into the auto space 22 years ago. It had its time under the sun for long until the Chinese with better price points and faster charging options came home to roost. From the undisputed global leader, Tesla is a distant no 2 now across the world including its home market US.
Earlier in the day, Maharashtra Chief Minister Devendra Fadnavis opened the Tesla experience centre at the tony BKC area of the city, marking Tesla's long-awaited India debut.
Fan said the Model Y will initially be available in Mumbai, Delhi and Gurugram from the third quarter without offering a more closer date.
Tesla, which rolls out a car in 36 seconds flat, was the first to end the role of dealerships in the auto industry. It does not have third party dealerships but only company owned showrooms where one take delivery of the model booked online. But in India, it is offering a physical booking option to begin with, an official said.
With its fast charging capability, the Model Y takes only 15 minutes to add a range of up to 238 km for the right wheel trim and 267 km for the long range trim.
The Model Y can reach 100 kmph from standstill in 5.9 seconds, while the long range model takes 5.6 seconds for similar acceleration. The top speed is the same at 201 kmph for both versions.
