Tesla cuts Model Y India entry price by Rs 9 lakh to Rs 50.89 lakh, undercuts BMW iX1, Mercedes CLA BEV

Tesla repositioned Model Y in India at Rs 50.89 lakh entry (down Rs 9 lakh) and Rs 59.89 lakh long-range, slipping below BMW iX1 and Mercedes CLA BEV despite 70% customs duty. Retail footprint expanding from Mumbai-Delhi to Bengaluru, with Hyderabad next. FY26 volumes remain thin at 342 units, but pricing signals a German-luxury EV assault.

— Source publishedSat, 30 May, 2026, 08:41 IST·First seen Sat, 30 May, 2026, 08:49 IST·Source ET Small Business

What happened

Tesla slashed Model Y entry price in India by Rs 9 lakh to Rs 50.89 lakh, undercutting BMW iX1 and Mercedes CLA BEV, while expanding retail footprint to

Key facts

  • Rs 50.89 lakh
  • Rs 59.89 lakh
  • Rs 9 lakh cut
  • 70% customs duty
  • 342 vehicles FY26
  • Rs 61.99 lakh

Why this matters

Tesla's sub-Rs 51 lakh entry point compresses the premium-EV pricing umbrella German OEMs rely on, opening windows for distribution tie-ups, charging-network JVs, or local-assembly partnerships before duty relief reshapes the competitive set.