Discount On Tesla Model Y In India As Sales Skid

Tesla's India entry faces challenges with slow sales and discounts on unsold 2025 Model Ys due to high import duties and limited showrooms. Despite positive reviews, the Model Y's price is uncompetitive against rivals like BYD and BMW.

Tesla’s India entry was plagued by numerous delays, and the carmaker finally started its operations in India with experience centres in a few cities.

Source : Somnath Chatterjee

The Tesla entry to India went off to a sluggish start, and now there are discounts being offered on select unsold inventory of 2025 cars. This discount is for the Standard Range variant, which is priced under Rs 60 lakh. Tesla in December sold only 68 units, which is below BYD and BMW in India. While Tesla secured a number of bookings, some buyers backed out, leading to discounts on some unsold cars.

Tesla in India has had a slow start with a single imported Model Y, which has attracted a high level of duties, creating a price gap between it and rivals like BYD and BMW. The number of Tesla showrooms is also limited, although it is steadily increasing, which will in turn boost sales.

Challenges And Market Performance

Tesla’s India entry was plagued by numerous delays, and the carmaker finally started its operations in India with experience centres in a few cities. These discounts, however, are limited to a certain number of unsold inventory. Overall, the Tesla Model Y competes with the likes of the BMW iX1 LWB and the BYD Sealion 7.

Having driven the Tesla Model Y, we were impressed with the car but felt it was too expensive given that its rivals are priced lower. In CY 2025, over 200 cars have been sold by Tesla in India, which is well below sales expectations. Globally too, Tesla sales have been under pressure, notably from BYD.

With ex-Lamborghini India CEO Sharad Agarwal now steering operations in India, a turnaround is expected, although Tesla will need to bring newer products and find a way to lower prices compared to rivals.