Tesla cuts Model 3 price, but Model Y goes up again

Tesla significantly reduced the cost of all its electric cars last month. The most affordable car, the Model 3, has dropped in price slightly, but the Model Y has started to get more expensive.

Here's What We Know

At the end of January, Elon Musk raised the price of the Model Y by $500. Now we know that the Long Range version has gone up another $1500 and now costs $54,990. Despite the price hike, customers will be able to buy the electric car at a discount of $7500 off a government subsidy (Federal Tax Credit). The Model Y Performance variant now costs $57,990 instead of $56,990.

The Tesla Model 3, on the other hand, continues to get cheaper. In January, its price dropped from $46,990 to $43,990 and from $62,990 to $53,990 depending on the configuration. The Long Range version is not yet available due to high demand. In February, the base Model 3 went down another $500 and now costs $43,490. The price for the Performance variant has not changed.

The Federal Tax Credit covers U.S.-made vehicles up to $55,000. The subsidy is $7500. The Tesla range meets these criteria with the Model 3 and Model Y as standard equipment.

Source: Electrek