Tesla Cuts Model Y Entry Price by Over ₹10 Lakh With New Premium RWD Variant

Tesla has revised its Model Y lineup in India with the launch of the new Model Y Premium Rear-Wheel Drive (RWD) variant priced at ₹50.89 lakh (ex-showroom). At the same time, the company has discontinued the Model Y Premium Long Range RWD, effectively reducing the entry price of its electric SUV by over ₹10 lakh.

The discontinued Long Range RWD variant was previously priced at ₹67.89 lakh, making the new Premium RWD significantly more affordable for buyers looking to enter Tesla's ecosystem.

What the New Variant Offers

The Model Y Premium RWD remains a five-seater electric SUV and retains most of the features offered on the outgoing variant. These include Tesla's signature minimalist cabin, a 16-inch central touchscreen, panoramic glass roof, ventilated and heated front seats, an 8-inch rear display, connected lighting, ADAS features, and nine airbags.

The vehicle offers a WLTP-certified range of 500km and can add up to 238km of range in 15 minutes using a compatible DC fast charger. Power is sent to the rear wheels through a single-motor setup producing an estimated 299hp.

Model Y L Remains the Flagship

While the Long Range RWD has been dropped, Tesla continues to offer the recently launched Model Y L Premium AWD as the flagship version of the SUV. Priced at ₹61.99 lakh, the long-wheelbase model gets a larger 88.2kWh battery pack, dual-motor all-wheel-drive setup, a six-seat configuration, and a claimed WLTP range of 681km. It also produces significantly more power and supports faster charging speeds.

The price gap between the two variants now stands at ₹11.1 lakh.

A Response to Growing Competition

The price revision arrives as premium electric SUVs become increasingly competitive in India.

The Model Y Premium RWD now sits closer to rivals such as the BYD Sealion 7, which is priced between ₹49.4 lakh and ₹54.9 lakh, and the BMW iX1, which starts at around ₹51 lakh.

By lowering the entry price of the Model Y, Tesla appears to be prioritising volume and accessibility over offering multiple range-focused variants. The company now has a simpler two-variant strategy in India: a standard-wheelbase Premium RWD at ₹50.89 lakh and the larger Model Y L Premium AWD at ₹61.99 lakh.

For buyers, that means Tesla ownership has become more than ₹10 lakh cheaper overnight.