The Tesla Model Y has been awarded the 2026 Drive Car of the Year, marking a historic win as the first vehicle manufactured in China to receive the honor. The announcement, made on Monday, also represents Tesla’s first overall victory in the prestigious Australian automotive award and only the second time a fully electric vehicle has claimed the top spot.
Judges at Drive, an Australian automotive news and reviews website, lauded the Model Y for its “practical packaging, exceptional value and game-changing technology.” The vehicle previously secured the “best electric vehicle under $60,000” category win before being named the overall winner, surpassing category champions including the BMW 5-Series, BYD Atto 2 and Dolphin Essential, Hyundai Palisade, Kia Tasman, Volvo XC90, and Zeekr 7X.
According to Drive content director James Ward, the Car of the Year award recognizes the vehicle that “moves the game forward the most for Australian new-car buyers.” Ward emphasized that the Model Y’s advanced technology was the deciding factor in its selection.
The 2026 Tesla Model Y Premium Rear-Wheel Drive is priced starting at $58,900 before on-road costs and features a 60kWh battery offering a range of up to 466 kilometers. Tesla’s expansive charging network, now accessible to owners of both Tesla and non-Tesla vehicles, remains the largest and most reliable EV charging infrastructure in Australia.
The Model Y offers 971 liters of cargo space with the rear seats up, expanding to 117 liters with the front trunk, and provides ample headroom for passengers. Recent updates, including the Juniper software update, have reportedly improved the vehicle’s ride quality, and a backlit LED tail light has been added for enhanced aesthetics.
Judges highlighted the optional full-self-driving (supervised) driver assistance package, available for $149 per month, as a key component of the Model Y’s technological edge. This package is described as the most advanced driver assistance system currently available, offering a glimpse into the future of semi-autonomous and potentially fully autonomous driving.
Tesla has recently extended the warranty period for all its vehicles to five years, and continues to provide an eight-year, 160,000-kilometer warranty on the battery and drive unit. The Model Y was Australia’s best-selling electric vehicle in 2025, and the 2026 model’s enhancements are expected to further solidify its position in the market.
