Prashanth Menon, the country head for Tesla in India, has resigned as the chairman of Tesla India’s board after nine years with the company. This announcement comes just as Tesla prepares to launch its cars in India, the third-largest car market in the world. Following his departure, Tesla’s China team will temporarily manage operations in India, with no immediate successor named, as reported by Bloomberg.
Tesla is planning to open its first showroom in Mumbai, having signed a lease deal in March 2025. This move signals a revival of the company’s long-awaited India operations. However, Tesla is reportedly awaiting clarity on potential import duty reductions before fully entering the market. The company aims to launch in India with lower import duties, without an immediate plan for manufacturing locally, as per reports.
In a separate development, Tesla’s first-quarter earnings for 2025 saw a sharp 71% year-on-year decline in net profits, amounting to $409 million, falling short of analyst expectations. Tesla’s revenue also dropped 9% year-on-year to $19.34 billion, missing estimates of $21.11 billion. As a result, the company has withdrawn its 2025 guidance, citing uncertainty surrounding trade policies and demand trends. Tesla’s automotive gross margin also decreased, and its share price has lost 27% so far this year.
