TL;DR
VinFast is gaining consumer preference over Tesla in India's EV market due to more affordable offerings and wider accessibility.
Tesla's highly anticipated entry into the Indian market has reportedly met with a muted response, with initial sales figures showing a slow start for the global EV giant. In contrast, Vietnamese automaker VinFast is gaining significant traction among Indian consumers, largely attributed to its more affordable electric vehicle offerings and a rapidly expanding dealership network. This trend suggests that price sensitivity and accessibility are currently playing a more crucial role in shaping Indian EV purchasing decisions than brand prestige alone.
Official data indicates that Tesla has registered a limited number of vehicles since its mid-2025 entry, primarily delivering premium Model Y SUVs through private imports. Meanwhile, VinFast has capitalized on the festive season momentum, enhancing its brand visibility and showroom footfall across India. The evolving tax landscape, with recent GST revisions benefiting internal combustion engine vehicles, could further narrow the price advantage for EVs, posing additional challenges for premium EV brands like Tesla in the Indian market.
