Tesla's India Entry: Maharashtra Minister Buys First Model Y Amid Proposed $1 Trillion Musk Compensation Plan
Maharashtra's Transport Minister Pratap Sarnaik became the first owner of Tesla Model Y in India, marking Tesla's official entry into the Indian automotive market. Tesla launched operations in India in July 2025, offering two variants of Model Y: rear-wheel drive (Rs 59.89 lakh, 500 km range) and long-range version (Rs 67.89 lakh, 622 km range). Initial deliveries are scheduled for Q3 and Q4 of 2025, focusing on key metropolitan areas. Tesla faces challenges including declining profits, revenue, and European sales, while competing with Chinese manufacturer BYD.

*this image is generated using AI for illustrative purposes only.
In a significant milestone for electric vehicles in India, Maharashtra's Transport Minister, Pratap Sarnaik, has become the owner of the country's first Tesla Model Y. The purchase was made at the newly inaugurated Tesla Experience Center in Mumbai's Bandra-Kurla Complex, marking Tesla's official entry into the Indian automotive market.
Tesla's Entry into India
Tesla, the world-renowned electric vehicle manufacturer, launched its operations in India in July 2025. The company's debut model for the Indian market is the Model Y, offered in two variants:
- Rear-wheel drive: Priced at Rs 59.89 lakh
- Long-range version: Priced at Rs 67.89 lakh
These electric vehicles boast impressive ranges, with the rear-wheel drive variant offering 500 km and the long-range version extending to 622 km on a single charge.
Minister's Purchase and Tesla's Rollout Plan
Transport Minister Pratap Sarnaik's decision to purchase the Tesla Model Y is noteworthy:
- He paid the full amount without seeking any discounts.
- As the Transport Minister, his choice sends a strong message about the government's support for sustainable transportation solutions.
- The purchase aligns with his stated support for electric vehicles in his role as Transport Minister.
Tesla's strategy for the Indian market includes:
- Initial deliveries scheduled for the third and fourth quarters of 2025
- Focus on key metropolitan areas for the initial phase, including Delhi, Mumbai, and Gurugram
Tesla Experience Center
The Tesla Experience Center, where Minister Sarnaik made his purchase, was inaugurated on July 15, 2025, by Maharashtra Chief Minister Devendra Fadnavis. This center serves as a showcase for Tesla's technology and design.
Tesla's Proposed Compensation Plan for Elon Musk
Tesla has proposed a compensation package for CEO Elon Musk that could potentially reach $1 trillion if Tesla meets aggressive targets over the next decade. The plan includes 12 share tranches tied to milestones such as:
- Reaching a $2 trillion market valuation
- Delivering 20 million vehicles
- Operating 1 million robotaxis commercially
- Delivering 1 million AI bots
For Musk to receive any stock, he must remain with Tesla for at least 7.5 years, and 10 years for the full amount. The plan would also grant Musk additional voting power.
Challenges and Competition
Despite its expansion into new markets like India, Tesla faces several challenges:
- Tesla's shares have dropped 25% this year
- Quarterly profits fell from $1.39 billion to $409 million
- Revenue has declined
- European sales plunged 40% in July
- Chinese competitor BYD gained 1.1% market share compared to Tesla's 0.7%
Conclusion
As Tesla navigates these challenges and pursues ambitious growth targets, its entry into the Indian market represents a significant step. The adoption of electric vehicles like Tesla in India could play a crucial role in accelerating the transition to sustainable transportation. Tesla shareholders are set to meet on November 6 to discuss the proposed compensation plan for Elon Musk, which comes as the company appeals a judge's decision that revoked his previous 2018 pay package worth $29 billion.