It's unclear if Tesla's entry makes sense under India's investment scheme, with any plans the automaker might have likely to be rolled out slowly and in a measured way due to several entry barriers, Gupta and other analysts said.
Price and commitment issues
According to a recent research note by Bank of America, if Tesla were to enter this scheme, it would translate to minimum landed car prices of $40,000.
At this price, Tesla EVs would enter India's market at a very high price point, above what existing Indian OEMs cater to and implying a small addressable market, BofA said.