The market for EVs has seen a rise in India, and capitalising on this, it looks like Elon Musk has finally launched Tesla for Indian consumers. Tesla has made its debut with the launch of the Model Y electric SUV. The EV giant has listed two variants on its India website, kicking off sales with premium price tags and a company-operated retail model.

Tesla Model Y Variants and Indian Pricing

Tesla is offering the Model Y in two variants for the Indian market. The first one is the Model Y Rear-Wheel Drive (RWD), which is priced at Rs 60 lakh, and the other is the Model Y Long Range RWD, priced at Rs 68 lakh. These are ex-showroom prices for outright cash purchases, with no lease or financing options currently listed on Tesla’s site.

The RWD variant will have a single electric motor and the 60 kWh battery claims to deliver a range of 500 km on a single charge, while the long range variant claims 622 km. Talking about options, the Tesla Model Y in India will be offered in 7 exterior colour options and 2 interior trims. EV will also come equipped with a 15.4-inch infotainment display (front) and an 8-inch rear screen making it packed with features. The car will also sport power-adjustable front seats with dual-zone automatic climate control, 19-inch crossflow wheels, fixed glass roof, and power rear liftgate.

Compared to global pricing, Tesla’s Indian launch seems quite expensive, especially since the Model Y is significantly more affordable in other countries. For context, in the US, the Tesla Model Y starts at $44,990 (approx. Rs 37.5 lakh). In other markets like China, prices begin at ¥263,500 (approx. Rs 30.5 lakh), and in Germany, it starts at €45,970 (around Rs 42.5 lakh).

The main reason behind these inflated prices in India is the high import tariffs, which can go up to 70% on fully built EVs priced under $40,000. According to Bloomberg, Tesla’s first five imported Model Y units, which were shipped from Shanghai, have already landed in Mumbai and incurred over Rs 21 lakh in import duties alone.

Tesla’s First India Showroom Opens in Mumbai

Alongside the vehicle launch, Tesla has also inaugurated its first retail outlet in India, located in Mumbai. The store is set to open at 10 AM today and will follow Tesla’s direct-to-consumer sales model. The company leased the Mumbai space in March and has since been actively hiring and scouting for a second location in New Delhi.

The India launch arrives at a crucial time for Tesla, as it navigates increasing global competition. The company delivered 384,122 vehicles globally in Q1 2025, which is around 60,000 fewer than the same period last year. Meanwhile, Chinese rival BYD has surged ahead, selling over 1 million EVs in just the first half of 2025. This clearly shows that Tesla is viewing India as a strategic market and could be aiming for higher sales in the country going forward.