Tesla axes cheapest Model Y – but now there’s a longer range one for $2k more

Tesla has introduced a new variant of the Model Y – the Long Range Rear-wheel drive – and axed the previous RWD model, which had previously been the cheapest Model Y ever in the US.

The LR RWD model started shipping early last month in Europe, and now it's available in the US.

This new model comes with a larger battery, offering a significant increase in range from 260 miles to 320 miles, all for just $2,000 more.

The new Long Range RWD Model Y starts at a base price of $44,990, but it qualifies for the US EV tax credit, bringing the price down to $37,500 for eligible buyers.

In addition to the new model, Tesla has also added the new Quicksilver paint option for $2,000, available on Long Range AWD and Performance models.

Tesla plans to offer software unlocks for owners who bought the 260-mile SR RWD, allowing them to add an additional 40-60 miles of range for an additional $1,500-2,000, pending regulatory approval.