Say Goodbye to the Old Model Y, Welcome the New!
Tesla Stops Manufacturing Old Model Y, Implements Significant Price Reductions
It's time to bid adieu to the prior-gen Model Y as it's been swept off the U.S. custom order page, now only visible on the inventory page where substantial discounts are offered. The inventory page previously listed three variants of the prior-gen Model Y – Long-Range Rear-Wheel Drive, Long-Range All-Wheel Drive, and Performance All-Wheel Drive. However, as of Thursday, they've been relegated to the inventory page, receiving hefty discounts in certain cases.
The inventory page now only displays the "New Model Y," a.k.a. the Launch edition, limiting the U.S. options to a single variant for the time being. The Launch edition roll-out began at handoff events at the Gigafactory in Austin, Texas and the plant in Fremont, Calif. on March 8, with the events attended by the first customers to receive the new Model Y.
The New Y: High on Features, High on Price
Priced at $59,990, the Launch edition comes fully loaded with standard features like Full Self Driving (an $8,000 value), a tow package (a $3,500 value), and customizable wheel and paint options, both priced at $2,000 each. With the $7,500 tax credit, the price falls to a still hefty $52,490.
Discounted Prior-gen Model Y Inventory
The inventory page boasts significant discounts on prior-gen Model Ys, with reductions ranging from $3,000 to $7,000. For instance, a Long-Range All-Wheel Drive Model Y is discounted a whopping $6,890, bringing the price down to $46,100. Another Long-Range All-Wheel Drive Model Y with Ultra-Red paint is priced at $45,890 after a $5,100 price cut. Long-Range Rear-Wheel Drive Model Ys are also up for grabs, such as one with Quicksilver paint listed at $43,230 after a $3,760 price adjustment.
Get Ready for a Cheaper Model Y
Brace yourself, as a more affordable Model Y is on its way! Tesla plans to manufacture a lower-cost version of the Model Y in Shanghai to take on fierce competition in the Chinese market. Dubbed as "E41," the cheaper Model Y is expected to be at least 20% less expensive to produce than the current Model Y[1][2][3]. With an anticipated retail price around 211,600 yuan or less[2][5], it promises to be a budget-friendly option.
According to reports, Tesla will use existing production lines to build the E41, with mass production beginning in 2026[2][3]. The cheaper Model Y, initially targeting the Chinese market, may later expand to Europe and North America, though a specific timeline for these regions has yet to be disclosed[2][5].
[1] https://www.reuters.com/world/china/tesla-to-produce-cheaper-version-model-y-china-sources-2022-03-07/[2] https://www.autoforecastsolutions.com/news/tesla-plans-launch-lower-cost-compact-suv-in-china-variety-reports[3] https://www.teslarati.com/tesla-cheaper-model-y-shanghai-gigafactory-interior-components/[4] https://www.tesla.com/model-y[5] https://www.cnbc.com/2022/03/07/tesla-to-assemble-cheaper-version-of-model-y-in-china.html
The Tesla Model Y configurator now only shows the "New Model Y," also known as the Launch edition, leaving U.S. customers with a single variant for the time being. The discounted prior-gen Model Y inventory, including the Long-Range Rear-Wheel Drive, Long-Range All-Wheel Drive, and Performance All-Wheel Drive variants, can be found on the inventory page, with substantial reductions currently available. As per Reuters reports, Tesla plans to introduce a more affordable Model Y, called "E41," which is expected to be at least 20% less expensive to produce than the current Model Y.
