Tesla unveiled cheaper versions of the Model 3 and Model Y vehicles. The standard Model 3 sedan will start at $36,990 and the Model Y SUV will start at $39,990.

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Tesla's lower-priced versions of its staple Model Y SUV and Model 3 sedan face an uphill battle in the region where Elon Musk's company arguably needs help the most: Europe.
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Tesla unveiled more affordable versions of the Model 3 and Model Y on Tuesday. The new models are roughly $5,000 cheaper and have fewer features.
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Shares of the world's most valuable electric vehicle maker slumped on Tuesday, Oct. 7, 2025, after revealing lower-cost models, while a chipmaker added to its gains in the wake of a massive AI deal.

Tesla unveils cheaper Model Y for nearly $40K.

05:25pm, Tuesday, 07'th Oct 2025
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Cheaper Teslas have arrived. But are they cheap enough?
The cheaper versions of the refreshed Model Y and Model 3 aren't brand new models, but they introduce a more affordable starting price for electric car shoppers.

Tesla Plans to Unveil Cheaper Model Y

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Tesla plans to unveil a cheaper version of the Model Y, following through on plans to offer a more affordable car after the loss of US incentives for electric vehicles. Bloomberg's Craig Trudell joins
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