Tesla Launches Cheaper Version of Model 3: What You Need to Know

Tesla Model 3

Tesla chief Elon Musk introduced the Model 3 on its website for a price of $45,000 (approx Rs 33.05 lakhs) with a mid-range battery.

Tesla's new version of Model 3 starts at $45,000 - $4,000 below the previous starting price for Model 3.

"As Model 3 production and sales continue to grow rapidly, we've achieved a steady volume in manufacturing capacity, allowing us to diversify our product offering to even more customers", a Tesla spokesperson said in an emailed statement.

To date, the company had only been offering more expensive versions of the auto.

Despite all those caveats, Musk followed up his order page tweet with another tweet on Thursday night arguing that the "true cost of ownership is closer to $31k after gas savings". To take advantage of the full $7,500 federal tax incentive, however, customers must take delivery of the vehicle by December 31, 2018. Musk has said the company, a cash-burning giant that faces billions of dollars in impending debts, must push out more profitable and expensive versions first: Shipping the cheapest "Model 3 right away (would) cause Tesla to lose money & die", he tweeted in May.

The announcement of the midrange model came with no early warning or indication that this model was being added to the lineup, catching Tesla watchers by surprise. If you believe Tesla's calculations, the mid-range model's cost works out to $34,400 once you factor in that full tax credit and gas savings over a six-year period. Despite production issues that have slow deliveries, there are plenty of Model 3s already on the road although none were sold at that promised $35,000 price point.

After 200,000 units, Tesla must phase out the tax credit. The range is an EPA estimated 260mi on a single charge, roughly 70 miles fewer than the most powerful performance model option. It is not clear how numerous more than 400,000 reservations for the Model 3 are for the base models. A mid-range version of Model 3 for only $4,000 less can appeal to a wider audience while Tesla prepares to bring to market the cheapest version of the vehicle.

Related news:

Hot News

isis-killer-beheading-video-story-top Lopetegui booed as Madrid suffers worst scoring drought
Oct 21, 2018 - 02:23
Lopetegui's side were stung twice inside 13 minutes when first Jose Luis Morales and then Roger Marti, from the spot, scored. However, Levante's form has dipped in recent matches, as they have won just three of their last eight games under Lopez.

isis-killer-beheading-video-story-top Trump escalates his attack on Fed: 'My biggest threat'
Oct 21, 2018 - 02:07
Higher rates can slow growth and the easy credit that has helped fuel stock markets in recent years. Inflation is finally picking up to the level central bankers consider healthy for the economy.

isis-killer-beheading-video-story-top NASA astronaut describes close call following failed launch
Oct 20, 2018 - 12:31
Because of a problem during ascent, the spacecraft separated from the boosters and made an emergency landing. After their medical check-up in the town of Baikonur, the astronauts were transported to Moscow.

isis-killer-beheading-video-story-top Liverpool’s Mane has surgery on hand injury
Oct 20, 2018 - 10:13
Huddersfield boss David Wagner celebrates his 47th birthday on Friday but Reds boss Klopp will not be giving him a gift. Nations can be promoted and relegated in the new Uefa format, which replaces friendlies with competitive games .

isis-killer-beheading-video-story-top Boston Red Sox Stifle Houston Astros' Bats, Return To The World Series
Oct 20, 2018 - 08:52
It's a unique contrast in much the same way as their manager can occasionally alternate between charming and fiercely protective. Right-hander Ryan Pressly, who hadn't allowed a run since August 10, gave up a critical one in the seventh inning of Game 4.

isis-killer-beheading-video-story-top Trump praises Montana congressman who body-slammed reporter
Oct 19, 2018 - 19:12
"Never wrestle him", Trump said of Gianforte at a campaign rally in an airplane hangar here. "Any guy that can do a body slam, he's my candidate, he's my guy", Mr.

isis-killer-beheading-video-story-top Milwaukee Brewers vs. Los Angeles Dodgers 10/17/18, Prediction & Odds
Oct 19, 2018 - 19:10
Machado is only hurting his offseason money but this is a bad showing for a shortstop that was supposed to change the Dodgers. The lefty retired his last 13 batters and blanked Milwaukee following Lorenzo Cain's RBI double in the top of the second.

isis-killer-beheading-video-story-top Volunteers search for clues in the missing Wisconsin teen case
Oct 19, 2018 - 18:52
He emphasized that people should use the tip line at 1-855-744-3879 if they have any information regarding the case. The tipster said the girl they saw was riding in the back of a black Ford Explorer with a Wisconsin license plate.

isis-killer-beheading-video-story-top Pregnant Meghan Markle tosses Australian football in heels
Oct 19, 2018 - 18:46
Somehow, the Duchess of Sussex found time in the midst of her busy touring schedule in Australia to head to the kitchen to bake. She said: "My first job when I was 14, I remember taking out the trash, all sorts".

isis-killer-beheading-video-story-top Unai Emery refuses to get carried away by Arsenal's great run
Oct 19, 2018 - 18:28
The supporters can enjoy it with us but also we're speaking with our reality every day. The future is tomorrow. "Individual things are not for me to speak about now".

isis-killer-beheading-video-story-top Manny Machado, Los Angeles Dodgers, fined for Jesus Aguilar, Milwaukee Brewers incident
Oct 19, 2018 - 17:44
Machado appeared to apologize to Aguilar during the game and explained to reporters what he was trying to do on the play. With a pivotal Game 5 coming up this afternoon, the Dodgers will need Machado to continue his recent production.

isis-killer-beheading-video-story-top Trump says it 'certainly looks' like journalist Khashoggi is dead
Oct 19, 2018 - 17:29
But Turkish officials claimed to have discovered evidence of a crime inside the consulate where Khashoggi was last seen. MbS had to tell him and asked him to intervene when Khashoggi's case became a global crisis", this source said.

isis-killer-beheading-video-story-top Luke Shaw signs mind-blowing new Manchester United contract
Oct 19, 2018 - 17:13
Shaw revealed last month he almost lost the leg, while it would be almost a year before he made another competitive appearance. Merson added: "If United do lose, the pressure will nearly certainly crank up again on Jose Mourinho ".

isis-killer-beheading-video-story-top Oil extends gains after unexpected decline in USA stockpiles
Oct 18, 2018 - 09:05
The immediate price response was somewhat muted, with Brent crude oil rising modestly on the news. Investors worry Saudi Arabia could use oil supply to retaliate against critics.

isis-killer-beheading-video-story-top Student gunman kills 19, wounds 50 at school in Russian-annexed Crimea
Oct 18, 2018 - 09:01
Anastasia Yenshina, a 15-year-old student at the college, said she was in the bathroom when the ground shook from an explosion. Raw footage: Emergency vehicles on the scene of an explosion at a vocational college in Crimea that killed at least 17 people.