Tesla launches six-seater Model Y in India

- Tesla introduced a six-seater variant of its Model Y in India to boost sluggish sales in the market. - The variant is aimed at buyers in India, the world's third-largest car market where Tesla's sales have lagged. - Analysts say it's a bid to broaden appeal amid tepid demand and rising competition from hybrids and local automakers (reuters.com).

Tesla has added a six-seat Model Y in India as it looks for more buyers in a market where the sport utility vehicle had been sold with up to five seats. (reuters.com) Tesla’s India site lists the redesigned Model Y with a 661-kilometer WLTP range, rear-wheel drive, and second-row seats that fold flat, while the company has been using discounts and trade-in offers to push the model. Tesla’s “EV Switch & Save” program in India offers an exchange bonus of 300,000 rupees for buyers who trade in a petrol or diesel vehicle and purchase a Model Y Rear-Wheel Drive. (tesla.com 1) (tesla.com 2) India is the world’s third-largest passenger-vehicle market, behind China and the United States, according to the Society of Indian Automobile Manufacturers. The industry group said passenger-vehicle sales in India reached a record 4.643 million units in the 2025-26 financial year. (siam.in 1) (siam.in 2) That makes India a large prize for Tesla, but also a crowded one. Reuters reported that analysts see the six-seat version as an attempt to widen the Model Y’s appeal as demand stays soft and competition rises from hybrids and domestic automakers. (reuters.com) The timing also lands as India’s broader car market is growing faster than Tesla’s niche of imported battery-electric vehicles. The auto manufacturers’ group said passenger-vehicle sales grew 7.9% in fiscal 2025-26, helped by lower financing costs, tax relief and an increase of more than 80% in electric passenger-vehicle registrations. (siam.in) Tesla’s pitch in India has centered on making the Model Y easier to own rather than expanding the lineup across multiple models. Its current India marketing highlights lower running costs, home charging with a complimentary wall connector and monthly installment plans starting at 49,000 rupees under the trade-in program. (tesla.com) The six-seat version gives Tesla a way to target family buyers without changing its core product in India: the Model Y remains the company’s local lead offering on its India website. For now, Tesla is trying to sell more of the same vehicle in more configurations in a market big enough to matter and competitive enough to punish a narrow strategy. (tesla.com) (reuters.com)

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