Tesla's first showroom in India to open in Mumbai - Details Here

As Elon Musk's affordable satellite internet service Starlink finally gets ready to launch in India, his other venture, electric car company Tesla, is set to launch its Tesla car business in India from this month.

Although it currently has no production in the country, the company is set to open its first showroom in Mumbai on July 15. The Tesla showroom in the country's financial capital is located in a 4,000 sq ft retail space, close to American tech giant Apple's flagship store in the city.

The move is part of Tesla's broader expansion strategy in India. In June, the company leased a commercial space in Kurla West, Mumbai, which will house a showroom for Tesla cars.

Tesla now has four commercial properties in India, including an engineering centre in Pune, a registered office in Bengaluru and a temporary office near BKC.

Tesla India Motor & Energy Private Limited had leased 24,500 sq ft of space in Kurla West, Mumbai, so that it could set up a service centre near its upcoming showroom in BKC.

The move is a major step in Tesla's plan to enter the Indian electric vehicle (EV) market. However, the company currently has no plans to manufacture Tesla vehicles in the country.

Tesla has entered into a lease and license agreement with Bellissimo of City FC Mumbai I Private Limited to lease space at Lodha Logistics Park, according to real estate documents obtained by property data analytics firm CRE Matrix.

The agreement is for five years with an initial monthly rental of Rs 37.53 lakh. According to the documents, Tesla will pay a total of around INR 25 crore over the entire lease period, which includes a security deposit of INR 2.25 crore.

Tesla has made it clear that its current interest is only in selling its vehicles in India, not manufacturing them.

"They are not interested in manufacturing in India," Union Industries Minister H.D. Kumaraswamy had said last month. He added that Tesla is planning to open showrooms in India only for sales.

The government has notified guidelines for its future EV plan to enable new investments from global manufacturers in the electric car segment and promote India as a global manufacturing hub for e-vehicles.