Following the implementation of a tariff on Chinese imported batteries, Tesla pulled its most-affordable vehicle from its lineup. The standard range Tesla Model 3 is no longer available in the United States, presumably because its LFP battery is now significantly more expensive to put into its cars.
The cheapest Model 3 available now is the long range rear-wheel drive, which has an EPA-rated 363 miles of all-electric range. With the $1,390 delivery charge, it starts at $44,130. Tesla’s current lease offer on that, with $2,999 down is $389 a month for 36 months. Of course, neither of these numbers include tax and insurance and registration and other associated fees.
It’s not surprising to see the base car get pulled as a result of the tariff. The Mustang Mach-E might even see a similar fate with its use of LFP batteries. This change, though, does make the Model 3 more expensive and it has historically been priced quite competitively in the compact sedan space.
Now that Chevrolet is shipping its least-expensive version of its new Equinox EV, the dynamics of affordable EVs appears to be changing quite rapidly.