Tesla has rolled out a significant warranty upgrade in Australia and New Zealand, extending its standard new-vehicle coverage to five years with unlimited kilometres.
The updated Basic Limited Vehicle Warranty applies to all new Tesla Model 3 and Model Y vehicles delivered from January 1, 2026, replacing Tesla’s previous four-year or 80,000 km coverage. Under the new structure, owners can drive without worrying about kilometre caps during the five-year term, while vehicles used for commercial purposes are covered for five years or 150,000 km, whichever comes first.
The warranty covers a wide range of vehicle systems, including corrosion protection, exterior paint durability, and multimedia and infotainment components. Tesla has also bundled the update with five years of 24/7 roadside assistance across both Australia and New Zealand. Notably, customers who took delivery prior to the announcement in the first week of 2026 are also eligible for the new warranty.
Announcing the change, Tesla Australia & New Zealand Country Director Thom Drew said the update was part of a broader push to set benchmarks in the region.
“Tesla Australia & New Zealand is thrilled to pioneer Global Firsts that redefine the driving experience for our customers – such as launching Full Self-Driving (Supervised) in the world’s first RHD market in 2025, and now introducing a 5-year, unlimited kilometre new vehicle warranty for 2026. This update aligns with local market expectations and instils lasting confidence in Tesla ownership.” (via CarExpert)
According to local media, the move brings Tesla more in line with rivals in the local market. Mercedes-Benz already offers five years with unlimited kilometres, while BMW and Volkswagen provide five-year warranties with kilometre limits. Among EV-focused brands, Kia and BYD continue to advertise longer headline coverage, though Tesla’s new policy eliminates one of its most frequently cited drawbacks compared with competitors.
While the basic vehicle warranty has been extended, Tesla’s battery and drive unit warranty remains unchanged. Rear-Wheel Drive (RWD) versions of the Model 3 and Model Y continue to receive eight years or 160,000 km of coverage, while Long Range and Performance variants are covered for eight years or 192,000 km. All include Tesla’s guarantee that battery capacity will remain at or above 70% during the warranty period.
Whether this expanded warranty will make its way to Canada and the United States remains to be seen. Tesla typically adjusts warranty terms regionally based on market norms, competition, and regulatory environments, as noted by Drew in his statement, rather than adopting a single global standard. In both Canada and the U.S., Tesla currently offers a four-year or 80,000 km (50,000 mile) basic vehicle warranty. Tesla may eventually follow suit in North America, but maybe not going so far as offering an unlimited-mileage warranty, but extending the limit to 160,000 km/100,000 miles.
