American electric vehicle maker Tesla on Friday expanded its India portfolio with the launch of the 2026 Model Y Premium Rear-Wheel Drive (RWD) at ₹50.89 lakh (ex-showroom), making it the company’s most affordable offering in the country so far.

The latest launch comes barely a month after Tesla introduced the three-row, six-seater Model YL SUV at ₹61.99 lakh in India. Tesla had entered the Indian market last year with the launch of the Model Y at ₹59.89 lakh, marking the company’s formal entry into one of the world’s fastest-growing passenger vehicle markets.

New variant targets premium EV buyers

Tesla said the newly introduced Model Y Premium RWD is a fresh variant of the globally best-selling Model Y and comes with design, technology and interior upgrades aimed at strengthening its premium positioning.

The electric SUV is powered by a single rear-mounted motor and offers a claimed driving range of up to 500 km on the WLTP cycle. The vehicle can sprint from 0-100 kmph in 5.9 seconds, while its battery supports charging speeds of up to 175 kW, enabling up to 238 km of range recovery in 15 minutes.

The latest version gets a larger 16-inch touchscreen, ventilated and heated front seats, heated rear seats with power-folding functionality, panoramic glass roof, electrically adjustable air-conditioning vents, an 8-inch rear touchscreen, nine-speaker sound system and eight exterior cameras.

Tesla has also introduced a fully blacked-out cabin theme with an all-black headliner, while offering an optional Zen Grey interior scheme.

Financing, charging network key to India strategy

As part of its localisation and customer acquisition strategy, Tesla is also pushing flexible financing options to widen accessibility in the premium EV segment. The company said customers can purchase the Model Y Premium RWD at a starting EMI of ₹39,990 with a down payment of ₹6 lakh under a seven-year financing plan.

Tesla claims buyers switching from premium petrol and diesel SUVs could save up to ₹20,000 per month through lower fuel and maintenance costs.

“Tesla will keep investing in the country to create a seamless EV experience in India, with more retail coverage, after-sales services and charging locations coming soon,” Tesla Senior Director Isabel Fan said in a statement.

The company has been expanding its charging infrastructure across key cities including Delhi, Mumbai, Bengaluru, Hyderabad, Chennai, Pune, Jaipur and Chandigarh as part of its broader India growth strategy.

Tesla currently operates Experience Centres in Mumbai, Delhi and Bengaluru, besides a Tesla Centre on Sohna Road in Gurugram.