Tesla has quietly introduced a new entry-level version of the Model Y in the United States that starts at just $43,990. When you factor in the $7,500 federal EV tax credit, that brings the price down to $36,490, making it the most affordable Model Y ever.
This new version is known as the Model Y Rear Wheel Drive and fills the void left behind by the base Model Y All-Wheel Drive that was discontinued in September. The base Model Y AWD had been available for $47,740.
Read: Tesla’s Improved Model Y For China Is A Second Quicker To 62 MPH
Electrek reports that the new Model Y RWD is equipped with a more affordable lithium-iron-phosphate battery as opposed to the nickel-manganese-cobalt cells used in other Model Ys. Tesla has listed the new model with a range of 260 miles (418 km) and says it can hit 60 mph (96 km/h) in 6.6 seconds and on to a 135 mph (217 km/h) top speed. It also has a peak charge rate of 170 kW which is slower than the 250 kW charge rate found across the rest of the Model Y family.
Those looking to pick up the keys to this new entry-level Model Y variant would be wise to act fast. Tesla’s lithium-iron-phosphate battery pack is manufactured in China and from the end of this year, the Inflation Reduction Act will not offer a credit for EVs with a Chinese-made battery. That means it will probably only be available with the $7,500 tax credit for a few more months.
It’s not exactly clear why Tesla has decided to introduce the new entry-level Model Y. One explanation is that it hopes it will help boost sales which declined during the third quarter. It’s also possible that Tesla is looking to sell as many examples of the current Model Y as it can prior to the facelifted version being introduced with many of the same upgrades as the refreshed Model 3.
