EV giant Tesla Inc. is offering significant discounts on the older version of its Model Y SUV, with reductions of up to $7950, as the company prepares to launch the refreshed version of the vehicle in March.
Current Discounts
The discounts vary by model, with:
- Long-range rear-wheel drive variant listed with up to $3720 discount
- Long-range all-wheel drive variant listed with up to $4950 discount
- Performance version with up to $7950 in discounts
Background
The refreshed Model Y was launched in January, with deliveries scheduled to start in March. The new version is listed on Tesla’s website, with a starting price of $59,990 for the long-range all-wheel drive model, representing a 25% increase from its predecessor.
Why It Matters
The Model Y is Tesla’s best-selling vehicle, and the launch of the refreshed version comes after the company reported its first decline in annual global deliveries in over a decade. In 2024, Tesla reported global deliveries of 1.79 million vehicles, down from 1.81 million in 2023.
Refreshed Model Y
The refreshed Model Y long-range all-wheel drive model is now available for pre-order, with a starting price of $59,990. This represents a significant increase from the previous model, and the discounts on the older version are likely an effort to clear inventory before the new model arrives.
Conclusion
The price reduction on the older Model Y SUV is a strategic move by Tesla to make way for the refreshed version. With the new model launching in March, customers can take advantage of significant discounts on the current model, or wait for the latest version with its increased price point.