News
Why Tesla’s road in India may end before it even starts
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For years, Indian citizens have pleaded with Tesla CEO Elon Musk about the possibility of the electric automaker building and delivering cars in the country. India, a large landmass that 1.366 billion people call home, has less than 1% of its 30 million cars being of an electric nature, the most sustainable way to operate a vehicle. However, Tesla aims to change that with an imminent entrance into India’s market. The problem is, Tesla’s road in India may end before it even begins, which would be a massive blow to the company and its supporters in the country, as Tesla fans have waited several years for any indication that the car company would finally make an appearance in their section of the world. But, strict regulations and inside political interests are halting the possibility, and it has people wondering whether the world’s leading electric car company will ever make it to the Indian automotive market.
Many of you who read Teslarati on a daily basis know that we have been tracking the situation in India since the early days. In fact, one of my first articles of 2021, while I was recovering from COVID-19 in January, was about the potential that Tesla had in India’s markets. Additionally, it seemed that some potential customers would be ready to order their first all-electric cars from the Silicon Valley-based electric car company by the time Q2 rolled around. However, these pieces of outlook from Musk were not met because the Indian government has shut down any attempt Tesla has made toward getting their products in the country without the hefty import duties. Unfortunately, it doesn’t seem as if they will be going away soon, either, as Prime Minister Narendra Modi, who has heavily supported the idea of local manufacturing efforts, will not be forced to leave his post or enter another election until 2024.
While local manufacturing is something Americans take a lot of pride in, especially with cars, there are undoubtedly advantages to building things domestically. First, companies must hire workers in the country that the business is stationed in. Next, the increase of manufacturing jobs not only improves the American economy, but it also provides job security for the millions of employees that are on assembly lines 40 hours (or more) a week. There are a lot of strengths in manufacturing things locally, but there is also room for foreign entities to bring their products into a market, especially if they can benefit a foreign economy like it does a domestic one.
Musk with Modi in 2015
This is something Tesla argued in its proposal letter to the Indian government a few weeks ago when it requested a reduction in import duties. The increase in Tesla imports would actually assist the country in developing a charging infrastructure, which would supply jobs to the energy sector and provide cleaner transportation options in a country where the climate and environment struggle heavily with smog and emissions. Additionally, Tesla would need a dedicated Service Center in several locations as India is a large country. Not to mention, showrooms would also provide some employment opportunities.
Musk has said that Tesla will not bring a Gigafactory to India without some sort of data that would support healthy demand, something that is obviously needed to justify building a near-billion dollar production plant in India. Doing this through imports is a tremendous idea, but 60% import taxes on sub-$40k vehicles, and 100% duties on $40,000 and up vehicles just will not get this done. Plain and simple. There needs to be some movement on the Indian government’s end.
However, the Indian politicians fail to realize that the economic and environmental advantages to having EVs in the country will be a better move long term. Instead, they fail to budge or even consider reducing import duties of any kind, at least to this point, which appears to discourage Tesla’s requests to enter the market. It would be a shame if no solution can be reached after this problem because I believe that the environmental impacts alone will be something that not only the Indian people will enjoy, but the people of the world will begin to see eventually. As the air begins to clear and the smog disperses, there could be a relative ease on the strong relationship with gas and oil India has. Sustainable energy could make its way to India within the next few years, and Tesla could see the potential for its biggest Gigafactory yet in India.
Think about the economic benefits a large-scale production facility could provide. Not only would it produce well-paying jobs, but it would also create a lot of them.
There are so many benefits for both Tesla and India if a deal can be worked out. But can it? In my opinion, Tesla may be better off delaying the India operation for another few years, when a fresh administration and new ideas can be thrown around about Tesla entering the market. It seems, for now, there won’t be much of a possibility, and Tesla may be better off expanding its efforts in the UK or elsewhere.
With that being said, I would love to hear how you feel about this issue. Is Tesla wasting its time trying to get things going in India? Should it try again in a few years? Do you feel progress can be made? Why or why not? If not India, then where should Tesla consider a new Gigafactory?
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I use this newsletter to share my thoughts on what is going on in the Tesla world. If you want to talk to me directly, you can email me or reach me on Twitter. I don’t bite, be sure to reach out!
Elon Musk
Elon Musk says Tesla will take Safety Drivers out of Robotaxi: here’s when
“The safety driver is just there for the first few months to be extra safe. Should be no safety driver by end of year.”
Tesla CEO Elon Musk said today that the company plans to completely eliminate Safety Drivers from its Robotaxi fleet, which differs from the Safety Monitors it uses.
Tesla’s Robotaxi platform utilizes employees in the front passenger seat during city rides in Austin and the driver’s seat of the vehicles during highway operations in Austin, as well as during all rides in the Bay Area.
Tesla adjusts Robotaxi safety monitor strategy in Austin with new service area
Musk said the presence of a Safety Driver “is just there for the first few months to be extra safe,” but there are plans to remove them in an effort to remove the crutches the company uses during the early stages of Robotaxi.
The CEO then outlined a timeframe for when it would remove the presence of an employee in the driver’s seat in both Austin and the Bay Area. He said there “should be no safety driver by end of year.”
The safety driver is just there for the first few months to be extra safe.
Should be no safety driver by end of year.
— Elon Musk (@elonmusk) September 4, 2025
Having a Safety Driver or Monitor has been a major point of criticism from Robotaxi skeptics and Tesla critics.
However, Tesla has maintained that its priority in the early stages is the safety of riders, which will keep things running; even a single negative incident could derail self-driving efforts as a whole, including those outside of the company.
Tesla executives have said their attitude toward safety is “paranoid,” but for good reason: an accident could set back the progress that it and many other companies, including rivals like Waymo, have made in the past few years.
For now, it might be a point of criticism for some, but it’s smart in the near term. Musk plans for Tesla to have Robotaxi operating for half of the U.S. population by the end of the year as well, so it will be interesting to see if it can maintain these timelines.
News
Tesla is already giving Robotaxi privileges hours after opening public app
This morning, Tesla launched the app in the Apple Store, giving iOS users the ability to download and join a waitlist in hopes of gaining access.
Tesla is already giving Robotaxi privileges to those who downloaded the app and joined its waitlist just hours after it launched in the United States.
As the Robotaxi platform has been operating in Austin for several months, Tesla is now allowing the general public to download its app and call for a driverless ride in the city.
Tesla Robotaxi makes major expansion with official public app launch
The company previously sent invitations to select media outlets and Tesla influencers, seeking initial feedback on the performance of the Robotaxi platform.
There have been positive reviews, but, as with any Beta program, some mishaps have also occurred, although none have been significant.
As of the writing of this article, the City of Austin only lists one incident involving a Tesla Robotaxi, noting it as a “Safety Concern,” but not an accident or collision.
This morning, Tesla launched the app in the Apple Store, giving iOS users the ability to download and join a waitlist in hopes of gaining access.
Tesla is already granting Robotaxi access to several of those who have downloaded the app and gotten on the waitlist early:
Been getting a lot of messages from people who downloaded Tesla’s new Robtoaxi app last night and already have access to the company’s robotaxi and ride-hailing services. pic.twitter.com/xgbki1D3Lw
— Sawyer Merritt (@SawyerMerritt) September 4, 2025
With the launch of the public app, we were not too sure how soon Tesla would be able to initiate bringing more riders into the Robotaxi program. The immediate admittance for some riders just hours after the launch is a big positive and is surely a sign of strength for Tesla and its Robotaxi program.
What many will look for moving forward is the expansion of the geofence, which does not seem like a problem, as Tesla has already managed to do this on three occasions. The most recent expansion has expanded the service area to approximately 190 square miles.
People will also look for evidence of fleet expansion, a concern that has been a concern for many, especially since Tesla has not been completely transparent about it. They have revealed a recent service fleet growth of 50 percent, but there has been no specific number of vehicles mentioned.
News
Tesla explains why Robotaxis now have safety monitors in the driver’s seat
The update to Austin’s safety monitors became a point of interest among Tesla watchers on social media.
Tesla has provided an explanation about the presence of safety monitors in the driver’s seat of its autonomous Robotaxi units.
The autonomous ride-hailing service is currently being deployed in Austin and the Bay Area, with more cities across the United States expected to gain access to the service later this year.
Safety Monitors
When Tesla launched its initial Robotaxi program in Austin, the company made headlines for operating vehicles without a human in the driver’s seat. Even with this setup, however, Tesla still had safety monitors in the passenger seat of the Robotaxis. The safety monitors, which do not interact with passengers, have been observed to report issues and other behaviors from the autonomous vehicles in real time.
Safety monitors on the driver’s seat were also employed in the service’s Bay Area rollout, though numerous members of the EV community speculated that this was likely done to meet regulations in California. However, with the expansion of the Austin geofence, riders in Tesla’s Robotaxis observed that the safety monitors in the city have been moved to the driver’s seat as well.
Tesla’s explanation
The update to Austin’s safety monitors became a point of interest among Tesla watchers on social media. Longtime FSD tester Whole Mars Catalog, for one, speculated that the move might be due to Texas’ new regulations for autonomous vehicles, which took effect recently. Interestingly enough, the official Tesla Robotaxi account on X responded to the FSD tester, providing an explanation behind the safety monitor’s move to the driver’s seat.
“Safety monitors are only in the driver’s seat for trips that involve highway driving, as a self-imposed cautious first step toward expanding to highways,” the Tesla Robotaxi account noted.
Tesla has been extremely cautious with its autonomous driving program, particularly with the rollout of its Robotaxi service, which use Unsupervised FSD. This is quite understandable considering the negative media slant that Tesla is consistently subjected to, which could very well result in minute incidents or mistakes by Robotaxis being blown out of proportion.
Elon Musk says Tesla will take Safety Drivers out of Robotaxi: here’s when
Tesla is already giving Robotaxi privileges hours after opening public app
Tesla explains why Robotaxis now have safety monitors in the driver’s seat
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