Tesla Unveils Model Y Pricing in India, Expands Global Presence

Tesla has unveiled the pricing of its Model Y cars in India. The company designs, builds, and sells electric vehicles, with net sales broken down by automotive vehicles (74.2%), services (10.8%), energy generation and storage systems (10.3%), automotive credits (2.8%), and automotive leasing (1.9%). The group has 8 manufacturing sites in the US, China, and Germany, with net sales distributed geographically across the US (48.9%), China (21.4%), and other regions (29.7%).

Title: Tesla Unveils Model Y Pricing in India

Tesla has officially announced the pricing for its Model Y SUVs in India, marking a significant milestone in its entry into the Indian market. The company, known for its innovative electric vehicles (EVs), has set the price for the Model Y at around Rs 48 lakh (USD 32,000), a figure that includes the landed cost and other associated expenses. This pricing strategy comes amidst a competitive landscape where Tesla faces both local and international rivals [1].

The initial offering includes imported Model Y SUVs, superchargers, accessories, and merchandise, valued at around USD 1 million. Tesla's entry into India is part of its global expansion strategy, with a focus on leveraging the country's growing EV market. The company's import-first approach allows it to gauge demand and understand the local market before committing to high-cost local manufacturing [1].

The Model Y comes in two main variants: range rear-wheel drive (RWD) and long-range all-wheel drive (AWD). The long-range RWD version offers an estimated range of 574 km and can accelerate from 0 to 100 kmph in 5.4 seconds, while the long-range AWD model provides a range of 527 km and achieves 0 to 100 kmph in 4.6 seconds. Despite the high pricing, Tesla aims to attract price-sensitive Indian consumers by offering a premium product with high performance and sustainability [1].

The Indian government has been actively promoting the EV sector, with Prime Minister Narendra Modi pushing for local manufacturing. However, Tesla has not yet committed to setting up a manufacturing facility in India. Instead, the company plans to import its vehicles from manufacturing sites in Shanghai, China, and Berlin, Germany. The customs duty on these high-end imports has been reduced from 125% to 70%, making premium cars more accessible to Indian buyers [1].

The EV market in India is experiencing significant growth, with sales surging by 28.6% year-on-year in June 2025. This growth is driven by increasing consumer adoption, improved product offerings, and policy incentives. The electric passenger vehicle segment, in particular, has seen a dramatic expansion, with sales nearly doubling in the same period [3].

As Tesla enters the Indian market, it faces challenges from long-time rivals like BYD and local player Tata Motors. The company will need to navigate the competitive landscape and adapt its strategies to cater to the unique demands of the Indian market. Despite these challenges, Tesla's entry into India represents a significant step in its global expansion and a testament to the growing importance of the Indian EV market [1, 3].

References
[1] https://www.businessworld.in/article/teslas-first-india-showroom-opens-july-15-in-mumbai-bkc-563145
[3] https://knnindia.co.in/news/newsdetails/sectors/indias-electric-vehicle-sales-surge-286-yoy-in-june-2025