Tesla has released simplified versions of the Model 3 and Model Y without Autopilot and with a smaller set of features. The price starts at $36,990, the range is 321 miles.
Tesla launched new “budget” Model 3 and Model Y without Autopilot
After a year of promises, Tesla officially introduced cheaper versions of the Model 3 and Model Y, which were called Standard.
The Model 3 Standard costs $36,990, and the Model Y Standard — $39,990. Both versions have a range of about 321 miles (517 km) on a single charge and a simplified configuration.
The prices look attractive, but not revolutionary — after all, Elon Musk once promised “Tesla for $25,000,” but this project was never implemented.
Without Autopilot and with a minimum of features
The most noticeable reduction is the lack of Autopilot. The new models only have adaptive cruise control, but without the Autosteer function, which provides automatic control.
Other simplifications include:
- no second screen for rear-seat passengers;
- the steering wheel and mirrors are manually adjustable;
- no FM/AM radio;
- only 7 speakers instead of 15 and no subwoofer;
- heated seats are only available in the front;
- no glass roof and decorative LED strip on the front of the body.
Tesla continues the “game of thrones for pennies,” as the company jokes — aggressively reducing the cost of production remains a key strategy for the brand.
Prices and competition
Thanks to the end of the federal EV credit in the US, the price for American buyers will be “clean” — without tax breaks. In Europe, Tesla also plans to sell these versions, but taking into account local subsidies.
Meanwhile, competitors are already preparing a response:
- Ford is working on its own low-cost EV platform (expected in 2027);
- GM is bringing back the Chevy Bolt;
- Lucid Motors, Rivian, and Slate Auto are developing models in a similar price segment.
New Teslas are a chance to restore growth
After a sales slump in 2024, the company is looking to return to growth. The cheapest Model 3 and Model Y could become key demand drivers, although they risk reducing interest in more expensive versions and causing a collapse in the used Tesla market.
Despite the scandals surrounding Elon Musk and his role in politics, Tesla remains the most recognizable electric car brand. Now the company is betting on affordability — and, perhaps, this is its boldest move in recent years.
Related: Tesla shares fall as European sales plunge over 20% in August
