American EV manufacturer Tesla entered in India a few months back eyeing a big chunk of the EV industry. However, reports suggest that slow sales and negligible customer interest in the Indian market has forced it to hire local leadership to boost it’s sales and race ahead. Tesla Inc has thus appointed Sharad Agarwal as it’s new India Head, according to a Bloomberg report.
Who is Sharad Agarwal?
Sharad Agarwal who has been hired by Tesla to lead the India division has a lot of experience. Prior to joining the American EV manufacturer he was the India head of Lamborghini for over a decade. Then for a brief period in November 2024, he became chief business officer at Classic Legends, a Mahindra & Mahindra subsidiary, according to his LinkedIn profile.
Until now, Tesla’s Southeast Asia director, Isabel Fan, had been overseeing its activities in India, including the launch of showrooms in Mumbai and New Delhi earlier this year. The company’s previous country head, Prashanth Menon, resigned in May after working between India and the United States. Therefore, it was high time the company needed some stable and local leadership to steer the boat.
Tesla increasing focus on India?
With Sharad Agarwal’s appointment, Tesla appears to be focusing first on premium buyers rather than the mass market. His main challenge will be to convert early interest in the brand into meaningful sales while dealing with high import tariffs and India’s slow electric vehicle adoption rate.
What Tesla expects Sharad to solve?
Tesla came to India with high expectations therefore has been startled with the slow sales. Since the company’s performance in India has been below its own expectations. Since launching sales in mid-July, the company received just over 600 orders. The figure increased slightly to around 800 by October, according to a Bloomberg report.
Moreover the other big problem for Tesla is the high import duties that have pushed the starting price of Tesla’s Model Y above Rs. 60 lakh ($67,575), far higher than the Rs. 22 lakh price range where most electric vehicles in India are sold, according to JATO Dynamics. Electric vehicles currently account for just over 5% of India’s total car sales, which is also contributing to dismal sales numbers.
