CEO Elon Musk announced on Twitter that the mid-range Tesla Model 3 costs $35,000 after federal and state tax rebates in California
Electric car maker Tesla has released a new, cheaper mid-range battery version of the Model 3 that starts at $45,000 before federal tax incentives.
CEO Elon Musk took to Twitter to announce the new variant, which has an estimated battery range of 260 miles. Musk tweeted that the mid-range Tesla Model 3 costs $35,000 after federal and state tax rebates in California.
However, for the lower price, the customers must take delivery of the electric vehicle by December 31, 2018. This is because at the end of the year, Tesla buyers will no longer receive the full federal $7,500 tax rebate for buying an EV. Tesla’s estimate that buyers who place an order now will receive their car in six to 10 weeks.
Musk explained in a subsequent tweet that the mid-range vehicle is outfitted with a long-range battery that has fewer cells. “Non-cell portion of the pack is disproportionately high, but we can get it done now instead of February,” he wrote.
Just released lower cost, mid-range Tesla Model 3 & super simple new order page https://t.co/cz0TQn7IOZ
— Elon Musk (@elonmusk) October 18, 2018
Tesla rear wheel drive cars do actually work well on snow & ice. We did our traction testing on an ice lake! Dual motor AWD is great, but not required for cold weather. Just don’t use sport/summer tires.
— Elon Musk (@elonmusk) October 18, 2018
While this mid-range battery model is cheaper than the long-range dual motor Model 3 and the performance versions, the wait still continues for the $35,000 base-spec Model 3 (before incentives) that was originally promised by the company.
That low-cost model, which will feature a standard battery with a different architecture, is not coming out for 4 to 6 months.
The company, in a statement, announced the introduction of its new Mid-Range Battery this week in the U.S. and Canada and also informed that the delivery estimate for customers who have ordered the Standard Battery is 4-6 months.
Changes to Model 3’s price and option structure
Following the launch of the new battery pack option, Tesla is making several changes to the Model 3’s price and option structure.
The rear-wheel-drive option is now only available with the new mid-range pack and the Long-Range pack only comes with a dual motor all-wheel-drive powertrain.
“Tesla rear wheel drive cars do actually work well on snow & ice. We did our traction testing on an ice lake! Dual motor AWD is great, but not required for cold weather. Just don’t use sport/summer tires,” Musk wrote in an another tweet.
Besides, the price of the dual motor all-wheel-drive powertrain has been brought back to $5,000 — resulting in a new base price for the Long Range “Model 3” of $54,000.
Further, the company is making the white interior available with all configurations by changing the name to “black and white interior”.
