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Tesla updates 2026 Model Y with new features, launches tiny third row in the US

After months of anticipation and a few teasers, Tesla has officially launched the Model Y 7-seater in the US, along with a suite of small new features for the electric SUV.

Tesla Model Y with third row

When Tesla launched the Model Y in 2019, it announced that it would offer an optional 7-seater third-row configuration.

It took approximately a year after Tesla began production to introduce the $3,000 option to the US market.

In Europe, Tesla only briefly opened orders for the third-row option in 2024, but like in the US, it was removed amid the Model Y design changeover in early 2025.

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In China, Tesla originally launched the option in 2021, but it was removed due to a low take-rate. The option was also not very popular in the US.

When Tesla launched the new Model Y design in January 2025, it didn’t have the third-row option.

As we reported back in June of last year, Tesla teased the return of the 7-seater option in a marketing email to prospective buyers, promising “seating for up to seven and enough room for everyone’s gear.” Now, half a year later, the option is finally live on the US configurator.

It costs an extra $2,500, and it is only available with the Premium All-Wheel-Drive Long Range Model Y:

As we can see from the image in Tesla’s online configurator, it doesn’t look like the third row has grown much, and it is still mostly for children due to the limited leg and head space.

It is important to distinguish this US launch from the major Model Y release we saw in China last year.

In August 2025, Tesla launched the “Model YL” in China. That vehicle is specifically a 6-seater (2+2+2 configuration) featuring second-row captain’s chairs and, most importantly, a wheelbase extended by roughly 6 inches to accommodate the extra legroom.

CEO Elon Musk said that the Model YL is not due in the US market until late 2026 or “might never come”.

Tesla Model Y 2026 Updates

Tesla is not really big on model year updates, but with the new year, it is launching a slightly, and I mean slightly, updated version of its best-selling SUV.

The new features are specifically for the ‘Premium’ version of the Model Y and not the new ‘Standard’ version launched last year.

The changes include the 20″ wheel option with the Helix design are now dark grey rather than a lighter grey/silver color:

All Model Y Premium now comes with a black headliner rather than the lighter material used in all Model Y and Model 3 trims before today:

The new 16″ and higher resolution screen that Tesla had launched in the Model Y Performance and Model YL in China is now making its way to all Premium Model Y.

The badging is also now black rather than chrome:

Electrek’s Take

It’s great to see the 7-seater option finally return. I know many families have been waiting for this since the refresh initially launched without it.

However, the big question remains the actual utility of that third row. In the pre-refresh Model Y, the 7-seat option was famously tight, really only suitable for small children, and the Model YL, with a slightly extended wheel base, and the new refreshed design doesn’t offer much more.

Top comment by Eun Park

Liked by 14 people

I'm still confused as to what Tesla's strategy is. Musk and supporters keep saying it is not a car company and car sales do not matter. Yet, they are slashing prices and making changes to sell... more cars? I mean even any talk about robotaxi and its progress (lack there of) is muted.

Why are they not just focusing on AI and robots that are supposedly their entire future? Why keep a dead business alive?

View all comments

If Tesla hasn’t stretched the wheelbase here like they did with the Model YL in China, I expect the legroom to remain a major compromise.

Honestly, the biggest update here is the headliner. It looks way better than the lighter one. It really makes the interior look more cohesive, and it almost makes you think, why was it not always like that?

I mean, this looks way better. Even with the white seats, it looks way better:

Good move.

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Avatar for Fred Lambert Fred Lambert

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