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Standard Range Model Y Will Not Be Produced

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Based on past pricing, the RWD will be $4000 less than a similarly equipped AWD. My guess is a base price of $45,990.

I mean that’s a good price for a long range version... but it means a minimum of about $10k step up from a sedan to a small SUV or crossover... that’s pretty substantial. Give it two or three years when we see a couple other crossover style vehicles hit the market with 200 mile range. Yes Tesla will be able to say they’re in another league with over 300 miles... but if someone has $38k to $40k to spend and Tesla is $46k we might suddenly see an SR+ show up for just under $40k with 260 miles range or something.

The market will always push this, and thankfully Tesla is so far in the lead that I know they have a few tricks they can pull once they start getting backed into a corner.
 
This change all of a sudden makes the mach-E a viable option for some.

True. Comparing LR AWD to LR AWD, the Model Y has the Mach-e beat hands down.

But the Mach-e has a 230 mile range base model available for $43,895 MSRP. After full tax credit that's $36,395 which even edges out the Model 3 SR+.

So if one is shooting for just over 200 miles of range, and wants a bit more trunk space than the Model 3 can offer, the Mach-e base model is a good choice.
 
I mean that’s a good price for a long range version... but it means a minimum of about $10k step up from a sedan to a small SUV or crossover... that’s pretty substantial. Give it two or three years when we see a couple other crossover style vehicles hit the market with 200 mile range. Yes Tesla will be able to say they’re in another league with over 300 miles... but if someone has $38k to $40k to spend and Tesla is $46k we might suddenly see an SR+ show up for just under $40k with 260 miles range or something.

The market will always push this, and thankfully Tesla is so far in the lead that I know they have a few tricks they can pull once they start getting backed into a corner.
In 2 or 3 years, all of Tesla’s LR vehicles will be 400+ mi range and SR will be 300
 
I'm a bit annoyed. a 300 km (~200 mile) Tesla is "excellent" for many people. Definitely for me, I live on an island with fast chargers being installed no more than 150 km (~100 miles) apart on any route. Now the Model Y is definitely out of my price range - A$70k was a big stretch, now it's going to be A$100k+.
 
I think what Elon is really saying is given our battery cost initiatives (Sept. 22 Battery Day) and the introduction of competing long-range brands, we are cancelling the Model Y SR and phasing out the short-range Model 3. Expect a path like for the Model S, with gradual price reductions but eventually, only the former long-range variate being sold. The SR Model 3 will remain in some markets longer that have special tax incentives for less expensive cars but expect a return of the Model 3 LR RWD as the base car.