Tesla has quietly increased prices for the Model 3 and Model Y, making the company's most affordable cars just a little bit more expensive. While the cars are still cheaper than their Model S and Model X siblings, this is also far from the first time that Tesla has ramped up their cost since first hitting the market.
When the Tesla Model 3 was first announced in 2016, one of its most attractive features was the $35,000 starting price. It was far and away the cheapest vehicle Tesla had ever sold, making the idea of owning an electric vehicle much more realistic for shoppers that couldn't stomach the Model S and X prices. The same was true of the Model Y, which was touted as having a base price of just $39,990. Since the release of those vehicles, however, things have changed. Through a combination of discontinuing cheaper models and increasing the prices of existing ones, buying a Model 3 or Y just got more expensive — again.
As first spotted by Electrek, the Standard Range Plus Tesla Model 3 (the current cheapest version) now features a starting purchase price of $39,990. The cheapest Model Y variant, the Long Range one, has been increased to $51,990. Those are still fairly good prices considering everything included with the vehicles, but it's a rather stark difference compared to what they've previously been available for.
How This Compares To Previous Model 3 & Y Prices
For anyone that's been following Tesla prices over the past few months/years, this likely doesn't come as any surprise. While the Model 3 was initially available for just $35,000 for the Standard model, Tesla started discontinuing it just a couple of months after release. By late 2020, the Standard version was formally laid to rest and replaced by the Standard Range Plus as the new cheapest model — coming in at $37,990 this past November. The Model Y was faced with a similar situation. The Standard Range Model Y launched in January 2021 for $39,990, but it was discontinued in favor of the $48,990 Long Range model just one month later in February.
Throughout all of this year, prices for these more expensive variants of the cars have quietly been going up even more. Tesla typically increases the prices by $500 whenever this happens, such as this most recent one. However, that extra money quickly adds up at the rate Tesla has been going. Take the Model 3, for example. With this latest price hike, the car went from $39,490 to $39,990. That doesn't sound too bad on its own, but don't forget that the Model 3 was available for just $36,990 this past March.
Increasing and decreasing prices with no fanfare is a typical affair for Tesla at this point, and while there have been multiple decreases in 2021, it's clear that prices have been going up more than anything. $39,990 is a solid price for a car like the Model 3, but it's also a far cry from the $35,000 electric vehicle Tesla originally promised it would be. With increasing competition from the likes of Ford, GMC, and others, here's to hoping that forces Tesla to start making its prices move in the other direction again.