While inflation and interest rates are driving new vehicle costs up, Tesla has been dropping prices on their most popular models. Tonight, they've announced even more price cuts, this time for all Tesla Model Y vehicles, and for the entry-level version of the Model 3. The new prices are as follows:
Tesla Model Y AWD: $46,990 (formerly $49,990)
Tesla Model Y Long Range: $49,990 (formerly $52,990)
Tesla Model Y Performance: $53,990 (formerly $56,990)
Tesla Model 3 Standard Range: $39,990 (formerly $41,990)
Tesla Model 3 Performance: $52,990 (no change)
If you qualify for the U.S. federal EV tax credit, you can now drive away in a new Model 3 for just $36,240, or a Model Y for $39,490. Read our explainer on the EV tax credit here.
While this isn't great news for current Tesla owners who will see the value of their cars drop, it is great news for anyone currently thinking about buying a Tesla. These cars are quickly becoming a great value, and Tesla's aggressive pricing has really turned the heat up on other EV manufacturers to bring costs down as well.