Tesla Launches Model Y in India at Highest Global Price, Opens Mumbai Showroom

Mumbai, July 15, 2025: Tech billionaire Elon Musk’s Tesla has officially rolled out its Model Y in India, pricing it at about USD 69,770 (approximately Rs 59.9 lakh), making it the costliest market globally for the electric SUV. The launch coincides with the opening of Tesla’s first Indian showroom in Mumbai on Tuesday.

Deliveries of the Model Y are slated to begin in the third quarter of 2025. Tesla aims to tap into India’s premium electric vehicle (EV) segment, which currently comprises just around 4% of total car sales in the world’s third-largest automobile market.

Unlike mass-market domestic EV players such as Tata Motors and Mahindra, Tesla will compete mainly with German luxury brands like BMW and Mercedes-Benz in India.

Tesla’s Indian website lists the Model Y rear-wheel drive variant at approximately Rs 6 million ($70,000), while the long-range rear-wheel drive version comes in at Rs 6.8 million. This pricing significantly exceeds its starting costs in other major markets, including $44,990 in the United States, 263,500 yuan ($36,700) in China, and 45,970 euros ($53,700) in Germany.

The higher cost stems partly from India’s hefty import duties and levies, which can reach roughly 70%, as Tesla has opted to sell imported vehicles in the country rather than assemble them locally for now. The decision aligns with Tesla’s current global challenges of excess production capacity and slowing sales.

Inside the Mumbai showroom styled in Tesla’s trademark minimalist décor the Model Y was discreetly showcased, partially veiled under black and grey covers. Access was strictly regulated, and there were no large crowds of onlookers at the launch event.

On-road registration prices for the Model Y in Mumbai start at around Rs 6.1 million, with a booking deposit set at Rs 22,220. Tesla is also offering its Full Self-Driving (FSD) feature at an additional Rs 600,000, with the promise of future software updates aimed at enabling greater autonomous driving capabilities.

However, Tesla clarifies that the current system still requires active driver supervision and does not yet allow fully autonomous operation.