**Austin, Texas – October 8, 2025** – Tesla has officially launched new, more accessible "Standard" versions of its popular Model 3 sedan and Model Y SUV in the United States, aiming to attract a wider segment of buyers with starting prices under $40,000. This strategic move comes as the electric vehicle (EV) giant navigates a competitive market, slowing global sales, and the recent expiration of the $7,500 federal EV tax credit. Th^[1][2][3]e new Model 3 Standard is priced at $36,990, while the Model Y Standard starts at $39,990. The^[4][1][2][3]se new trims are approximately $5,000 cheaper than their previously entry-level, now "Premium," counterparts. Ord^{[2][5][6][7][8][3]}ers for both models are open immediately, with deliveries anticipated to commence between December 2025 and January 2026. ##^{[2][9][10][3][11]}# Strategic Pricing Amidst Market Shifts Tesla's introduction of these "Standard" trims is a direct response to several evolving market dynamics. The company has faced a global sales slowdown in 2025, with declining market share in regions like Europe and China, intensified by fierce competition from other EV manufacturers. The^[1][10] expiration of the lucrative $7,500 U.S. federal EV tax credit on September 30th also removed a significant incentive for many potential buyers, effectively raising the cost of Teslas for consumers. * ^{[1][9][10][12][3]} **Model 3 Standard:** Priced at $36,990. * ^[4][1][2][3] **Model Y Standard:** Priced at $39,990. * ^[4][1][2][3] **Price Reduction:** Approximately $5,000 less than the previous base models. * ^{[2][5][6][7][8][3]} **Delivery Timeline:** Expected from December 2025 through January 2026. Th^{[2][9][10][3][11]}is initiative aligns with Tesla CEO Elon Musk's long-standing promise of more mass-market vehicles, although past plans for an entirely new $25,000 EV were reportedly canceled in favor of developing more affordable versions of existing models. ##^{[9][10][6][12][8]}# Feature Adjustments and Performance To achieve the lower price points, Tesla has implemented several modifications to the "Standard" variants, primarily affecting interior features, aesthetics, and certain performance aspects. While still offering respectable range, these models come with a more streamlined suite of amenities compared to their "Premium" counterparts. Ke^{[1][2][9][10][8][3]}y adjustments in the "Standard" trims include: * **Range:** Both Model 3 Standard and Model Y Standard offer an EPA-estimated range of 321 miles with standard 18-inch wheels. Thi^{[4][9][5][7][3][11][13]}s is slightly less than the "Premium" versions. * ^[8] **Acceleration:** The "Standard" versions feature less powerful acceleration. For instance, the Model Y Standard goes from 0-60 mph in 6.5 seconds, compared to 4.8 seconds for the "Premium" Model Y. * ^[9][3] **Interior:** * Manual seat adjustments replace powered seats. ^[2] * Textile seats are standard, with vegan leather available as an option for the Model 3. ^{[9][10][3][11]} * The rear touchscreen and ambient interior lighting have been removed. ^{[9][10][7][3][11]} * AM/FM radio tuners are omitted. * ^[11] **Exterior:** * Basic LED headlights are included. ^[2] * The distinctive front and rear LED light bars, seen on higher trims of the Model Y, are absent. The^{[9][10][7][8][11]} Model Y also receives tweaked styling with a redesigned front bumper and integrated lighting elements. ^[4][7][8] * Manually adjusted side-view mirrors are standard. ^[9][10] * Limited exterior color choices to Stealth Grey, White, and Diamond Black. * ^[6][11] **Driver Assistance:** "Standard" models are limited to traffic-aware cruise control and do not include "Autosteer" functions like Autopilot or Full Self-Driving (FSD). ##^{[2][9][10][11][14]}# Analyst and Market Reception The unveiling has garnered a mixed reception from analysts and prospective buyers. While the lower price point is seen as a necessary step to boost sales volume and appeal to entry-level EV customers, some industry observers expressed disappointment that the price reduction was not more substantial. Ana^{[1][2][10][6][12][3][15]}lysts like Dan Ives of Wedbush Securities noted that the $5,000 price cut was modest, especially considering Musk's past discussions of a sub-$30,000 EV after incentives. Con^[2][10][12]cerns have also been raised that these cheaper versions could potentially cannibalize sales of Tesla's existing, higher-priced models, rather than significantly unlocking new demand. Tes^[9][10]la's shares experienced a dip of 4.4% following the announcement, reflecting investor apprehension. Th^{[1][9][10][12][3]}e new "Standard" Model 3 and Model Y represent Tesla's latest effort to expand its market reach and maintain its competitive edge in a rapidly evolving electric vehicle landscape. By offering more affordable entry points, Tesla hopes to reignite demand and attract budget-conscious consumers, even as it balances cost reductions with feature compromises and faces scrutiny over its broader growth strategy.^[1][3]