Given the price and investment challenges, experts told CNBC that Tesla's India foray will start with exporting cars to the market to test the waters first.
"We expect Tesla's entry into India to be slow and measured, given the low average price point in the market," BNP Paribas said, noting that the company has plans to launch more affordable models later this year.
Meanwhile, S&P Global Mobility's Gupta said that Tesla will likely push India to tweak its EV tariff policy further, allowing it to start shipping to the country more easily before making any investment promises.