Tesla Launches Cheaper Model 3 & Y

Tesla Reveals Slightly Cheaper ‘Standard’ Versions Of The Model 3 And Model Y

Tesla reveals slightly cheaper ‘standard’ versions of the Model 3 and Model Y, marking the automaker’s latest move to regain momentum after a dip in sales last year. The new base trims — the Model 3 Standard and Model Y Standard — start at $36,990 and $39,990, offering a more affordable entry point for new buyers.

Tesla Launches Cheaper Model 3 & Y

Image Credits:Tesla

Tesla’s Push For Affordability

After over a year of teasing “more affordable models,” Tesla has finally delivered. The company’s new “Standard” lineup aims to appeal to budget-conscious customers while maintaining Tesla’s signature electric performance.

Each model offers an estimated 321 miles of range on a full charge — respectable for its price tier — but Tesla has stripped away several premium features found in the higher-end versions.

What’s Missing From The Standard Versions

Unlike the pricier trims, the new “Standard” versions come without Autopilot, Tesla’s signature driver assistance system. Instead, they include only traffic-aware cruise control, leaving out Autosteer, a key component of Autopilot.

Inside, Tesla continues its minimalist design language but with even fewer luxuries. There’s no second-row touchscreen, manual seat and mirror adjustments, and no FM/AM radio. The audio system includes seven speakers instead of the 15 found in premium models, and only the front seats are heated.

Exterior Changes Reflect Cost Cutting

Visually, the differences are subtle but noticeable. Tesla removed the front light bar seen on premium Model Y variants, and the glass roof has been replaced with a standard metal top to cut costs. These design decisions reflect Tesla’s ongoing effort to balance affordability with aesthetics.

Why Tesla’s Pricing Still Raises Eyebrows

While this release signals a step toward lower-cost EVs, the prices are still higher than what many consumers expected. Elon Musk once teased a $25,000 Tesla, but that project was ultimately shelved.

Notably, the new Model 3 Standard doesn’t even drop below the $35,000 benchmark Tesla once promised back in 2016 — a price that existed briefly as an “off-menu” option before being discontinued.

Tesla’s Strategy: Cut Costs, Boost Volume

Tesla executives have long joked about playing “Game of Thrones but for pennies” — a nod to the company’s obsession with trimming costs. This “strip-it-down” approach is now clearly reflected in the Model 3 and Model Y Standard, as Tesla looks to ramp up production efficiency and drive growth in 2025.

A Balancing Act Between Price And Performance

For Tesla, the new Standard lineup could attract first-time EV buyers who previously found its cars out of reach. Yet, with features removed and the price only marginally lower, it’s a delicate balance between affordability and brand value.

Still, by expanding its lineup, Tesla reaffirms its dominance in the EV market — and its commitment to making electric mobility more accessible, even if the “cheaper” versions come with compromises.

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