Tesla Unveils More Affordable Model 3 & Y, Deliveries Late 2025
Tesla has announced more affordable versions of its Model 3 and Model Y, with specific delivery dates for Europe yet to be confirmed. The Standard versions, priced at $36,990 and $39,990 respectively, offer a range of 321 miles and will start arriving between December 2025 and January 2026. Despite concerns about cannibalizing sales, Elon Musk has emphasized the importance of affordability to attract more customers.
The new Standard versions come with textile seats, with vegan leather available for the Model 3. However, they lack certain features like Autosteer, rear touchscreens, and LED lightbars in the Model Y. Tesla's move to offer more affordable options comes as the company faces slowing sales due to competition and Musk's political views impacting brand loyalty. Last year, Musk canceled plans for an all-new $25,000 EV. In the U.S., Tesla's prices effectively rose by $7,500 when EV tax credits ended, leading to a boost in quarterly sales. Analysts, however, express concerns that the cheaper cars may limit growth by cannibalizing sales of existing vehicles.
Tesla's Standard Model 3 and Model Y aim to make electric vehicles more accessible, with deliveries starting in late 2025. Despite potential impacts on sales of current models, the company believes this move will attract more customers who desire but cannot yet afford Tesla vehicles.
