Elon Musk’s Tesla has begun selling its Model Y cars in India, with prices starting at ₹59,89,000, according to its website on Tuesday (July 15, 2025). This comes as the electric car manufacturer gets ready to launch its first showroom in Mumbai.
As Tesla prepares for the bustling roads still dominated by diesel and petrol cars, it will compete mainly with German luxury brands like BMW and Mercedes-Benz in the premium EV market. In India’s mass market sector, Tata Motors and Mahindra are key players.
India ranks as the third-largest car market globally. Yet, electric vehicles make up a small portion of it, as worries about the availability of charging stations keep many wealthy consumers from switching to electric.
Elon Musk has had his sights set on entering the Indian market for a while now. India is looking to increase the percentage of electric vehicles in its car sales to 30% by 2030, up from the current 4%, and is offering tax incentives to foreign car manufacturers that commit to some local production.
Mr. Musk didn’t find that very appealing, even though the initiatives were somewhat aimed at attracting Tesla.
At the same time, Tesla is kicking off a pre booking campaign in India that Vinfast has launched for its electric SUVs, the VF7 and VF6.
Model Y Price
Tesla is offering the Model Y rear wheel drive while the Model Y long range rear wheel drive is priced at ₹67.89 lakh ($79,074).
In the U.S., the starting price is $44,990, whereas in China it’s 263,500 yuan (about $36,700) and in Germany, it’s 45,970 euros (around $53,700).
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