Tesla (TSLA) finally revealed a stripped-down version of its Model Y, dubbed the Standard, and in a surprise move announced the standard Model 3 as well.
The two cars are now available to order on the Tesla US website. The standard Model Y is rear-wheel drive, will start at $39,990 and has an estimated range of 321 miles with standard 18-inch wheels. The standard Model 3 is even cheaper, at $36,990, and has the same range. While the Model Y standard is available for November/December delivery, the Model 3 standard arrives a little later, with a December/January delivery range.
As for looks, the standard trim omits the front and rear light bars on the Model Y and comes in just three colors: Stealth Grey, White, and Diamond Black. The only interior color available is black.
Tesla shares gained more than 5% on Monday after the EV maker posted GIFs on Sunday of a rotating company logo with the date “10/7” and what appeared to be the car’s headlights shining through smoke. Shares retreated nearly 4% on Tuesday after Tesla’s website update.
Inside, both standard trims feature the same 15.4-inch infotainment screen as the more expensive models. However, there’s no second-row screen, the ambient lighting has been removed, and the cheaper cloth seats are surrounded by vegan leather inserts, according to Tesla’s website. Interestingly, Tesla removed the AM/FM radio tuners from the standard trim, and standard models can only perform “Traffic Aware Cruise Control,” Tesla’s version of adaptive cruise control, and cannot perform “AutoSteer” functions such as Autopilot and Full Self-Drift (FSD).
It’s also likely that Tesla has pulled back on its batteries and electric motors to make the vehicles cheaper.
The standard versions of the Model Y and Model 3 are produced after the federal EV tax credit expired in the US on September 30. CEO Elon Musk said in the company’s second-quarter earnings that the cheaper Model Y would come out after the tax credit expires.
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Tesla said after second-quarter earnings that the first builds of a more affordable model occurred in June, with volume production planned for the second half of 2025.
Tesla’s release of these cheaper vehicles is expected to help grow volume for the automaker, which has seen sales gravy in recent quarters, although third-quarter sales jumped as buyers purchased EVs before the tax credit expired.
Last quarter, Tesla CFO Vaibhav Taneja said he expected a sales pullback in the third quarter due to the expiration of the tax credit and the numbers back up that claim.
(Tagstotranslate) The standard standard