Home » The Base Tesla Model 3 Is Dead, Possibly Because It Wasn’t Actually The Cheapest Model 3

The Base Tesla Model 3 Is Dead, Possibly Because It Wasn’t Actually The Cheapest Model 3

Tesla Model 3 Pricing Ts
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The cheapest Tesla Model 3, the Standard Range RWD model, has been discontinued in America. It no longer appears on Tesla’s online ordering page, and while cutting the base model of Tesla’s entry-level sedan might seem like a blatant price hike, it’s really not. That’s because there were only a few weird situations in which The Standard Range RWD was actually the cheapest Model 3. Let me explain.

With a 58 kWh battery pack, the Tesla Model 3 Standard Range RWD was the cheapest Model 3 on offer going by list price alone. For those looking to get into a reasonably priced EV with an MSRP of $38,990, it didn’t seem like a bad bet. However, this is America, and EVs don’t trade on list price alone.

Vidframe Min Top
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See, the cells in that 58 kWh battery pack were made by CATL in China, which means that, according to the EPA’s website, the Model 3 Standard Range RWD doesn’t qualify for federal tax credits. However, the Model 3 Long Range RWD, by virtue of its USA-made cells, does. Once you deduct $7,500 from the $42,490 MSRP of the Long Range RWD model, its net price drops down to $34,990, or $4,000 less than the Standard Range model.

IRS Tesla tax credits

Even though the lithium iron phosphate battery pack in the Model 3 Standard Range RWD promises benefits like slower degradation, greater performance consistency across its state-of-charge bandwidth, and significantly longer cell life, less range for more money is a difficult sell. Oh, and 91 miles of EPA-rated range isn’t the only thing the Standard Range model gives up.

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Tesla Model 3 54

See, the Long Range RWD model can charge at 250 kW, whereas the Standard Range RWD model could only manage 170 kW. Oh, and Tesla also claims that the Long Range RWD model is nine-tenths of a second quicker from zero-to-60 mph than the Standard Range RWD model. You’d have to really want the CATL-sourced prismatic lithium iron phosphate cells in the Model 3 Standard Range RWD to give up all of that.

Tesla Model 3 2024 Hd Ab002cb41b77dc2c1ef792b8ced2e0ab52b6e781d

Basically, it seems like the stipulations of the Inflation Reduction Act’s origin-linked EV tax credits may be working as designed in this case. The only people really missing out are those who wouldn’t qualify for the tax credits due to high income, and considering the joint income limit is $300,000, the head-of-household income limit is $250,000, and the limit for all other tax filers is $150,000, chances are those individuals aren’t hurting too badly if they pony up for the Long Range RWD model anyway.

 

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Tesla Model 3 Web Page

So, even though the cheapest Tesla Model 3 has been discontinued, fret not, because on paper, it wasn’t actually the cheapest Tesla Model 3 for the majority of buyers. It’s puzzling that Tesla hung onto offering it for so long, but the deed seems to be done. Also, now’s a good time to mention that the facelifted Model 3 is actually pretty great. Sure, some of the new controls take some getting used to, but it’s much quieter and rides substantially better than the old model. As long as you can stand the guy in charge of the company, this is a pretty good EV to pick up for daily driver duties.

(Photo credits: Tesla, Inc.)

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Fourmotioneer
Fourmotioneer
30 days ago

“For the majority of buyers”. Possibly, but I’d imagine that a pretty large percentage (but not majority) of Model 3 buyers are above $300k HHI. Would also imagine that Model 3 buyers are more likely to live in a very high cost of living city, where $300-500k HHI is more secure than luxurious, meaning $100/mo more regardless of content is noticeable.

Dan Parker
Dan Parker
28 days ago
Reply to  Fourmotioneer

Unless they’re EV enthusiasts I’d imagine a fair chunk of those folks are probably buying ICE cars anyway since without that credit the EV cost/benefit ratio skews quite a bit.

Urban Runabout
Urban Runabout
30 days ago

I was behind a Tesla Model 3 post-facelift today on the freeway.

Fortunately I was well back – because it was repeatedly braking at the most random points in time for no reason at all.

My first reaction was “WTF are you tapping your brakes for?”

Then I remembered that these are often used in Auto mode.
So the thing was braking for phantoms – or signposts – or exit ramps – or oil splotches on the pavement – or burger wrappers on the side of the road – or who knows what else.

So add premature brake wear and rear bumper damage to the list of things that will go wrong with your Tesla.

Last edited 30 days ago by Urban Runabout
NebraskaStig
NebraskaStig
30 days ago
Reply to  Urban Runabout

With Regen brakes excessive wear doesn’t seem to be a factor, but the rest of your points are 100 percent accurate

JumboG
JumboG
29 days ago
Reply to  NebraskaStig

I’m on my original brake pads in my hybrid, and it has 270k miles on it.

Totally not a robot
Totally not a robot
30 days ago
Reply to  Urban Runabout

Genuine question here — how on earth can you tell the difference between pre/post facelift on those cars?

Urban Runabout
Urban Runabout
30 days ago

The lighting signature is the easiest way.

So from the rear – the tail lamps.

Last edited 30 days ago by Urban Runabout
Will Leavitt
Will Leavitt
29 days ago

The new Model 3 has “T E S L A” on the trunk lid. The old ones have the “T” insignia.

Hillbilly Ocean
Hillbilly Ocean
28 days ago
Reply to  Will Leavitt

That insignia looks like an IUD.

Nicklab
Nicklab
27 days ago

My wife pointed that out to me and I couldn’t stop laughing

Wolfpack57
Wolfpack57
28 days ago

The lights are sharper, thinner, and have less volume. I couldn’t tell you if any of the sheetmetal changed.

Maryland J
Maryland J
1 month ago

It was actually the cheapest Model 3… for commercial/fleet purchasers and leases.

In both cases, the cars are eligible for the qualified commercial clean vehicles tax incentive, which follows the old rules (doesn’t care about income, battery original, etc). Specific to leases, the lessor does not have to pass those savings to the lessee, but current market conditions have pretty much resulted in that happening anyway. That’s how lessees end up with tax savings upfront.

Last edited 1 month ago by Maryland J
Kevin Rhodes
Kevin Rhodes
30 days ago
Reply to  Maryland J

At this point in their evolution, a lease is the ONLY way I would have an EV. It feels like a complete no-brainer given the rapid evolution and depreciation of them, plus the long-term risks.

And I would never have a Tesla. The user interface is a complete and utter non-starter for me. And then there is the asshole behind the company who I see zero need to give any of my money to.

Nlpnt
Nlpnt
30 days ago
Reply to  Kevin Rhodes

Tesla still buries regen settings in the touchscreen menu because heaven forbid they put it on flappy paddles for moment-to-moment dynamic control as all other newer EVs do, that would encourage people to actively drive their cars and Leon Mush doesn’t want that!

Will Leavitt
Will Leavitt
29 days ago
Reply to  Nlpnt

Tesla doesn’t offer flappy paddles because they nailed the single pedal accelerator response. My wife described it perfectly: “It’s got that delicious feeling of driving a stick shift in third gear — tons of power, tons of engine braking”. Except in a Tesla, the engine never lugs and you can come to a complete stop, and you never run out of revs, and can smoothly hit 100mph+.

Musk and Tesla wanted EVs to be performance cars, so they used software to seamlessly model the stick shift feel. Toyota with the Prius (I owned one for 295K miles) wanted their hybrid to have an automatic transmission feel, so they use software to seamlessly model an automatic, right down the low speed creep.

Last edited 29 days ago by Will Leavitt
Drg84
Drg84
28 days ago
Reply to  Nlpnt

For an electric motor I’m not sure paddles are the way to go. But for fucks sake, hey automakers, Stop Burying Essential Controls In Touchscreens!

Dinklesmith
Dinklesmith
1 month ago

I just bought a Mustang Mach E today *instead of* a Model 3 primarily *because* of who is in charge of Tesla

Rust Buckets
Rust Buckets
29 days ago
Reply to  Dinklesmith

I actually cannot imagine caring about any company executive enough for it to be a significant deciding factor in a ~$50,000 purchase.

In other news, what’s your opinion of Jim Farley?

Goffo Sprezzatura
Goffo Sprezzatura
28 days ago
Reply to  Rust Buckets

I actually don’t have to like the people/organization, but I definitely don’t want to dislike them. If someone negatively raises their profile in association in how I spend my money, I would then feel worse then indifferent and would find someone who I was less uncomfortable thinking about when I spend my money.

Dan Parker
Dan Parker
28 days ago
Reply to  Rust Buckets

I don’t think it takes *that* much imagination…

  1. There’s not enough differentiation between competing products to compel would be buyers offended by a polarizing persona to hold their collective nose and buy anyway
  2. The persona in question does the things that make them so polarizing with enough frequency and on platforms with enough penetration that those same buyers are unable to forget them.
Rust Buckets
Rust Buckets
28 days ago
Reply to  Dan Parker

I’m able to forget almost everything that Elon Musk does by the simple expedient of never having gone on Twitter. I don’t know why a Tesla buyer couldnt do the same if that’s a concern of theirs. In fact, I probably hear more about Elon here on the Autopian than anywhere else.

By no means is his direct personal influence as unavoidable as you are claiming it is.

I agree that there’s not that much differentiation between competing products, but frickin ANYTHING is more important than company executives. If I had to choose between a car sold by Mother Teresa’s company and a car sold by Adolf Hitler’s company, and they were identical except the Hitler car had two more cupholders, I’d spring for the cupholders.

Dinklesmith
Dinklesmith
28 days ago
Reply to  Rust Buckets

You know what? It actually doesn’t surprise me at all that you’d buy a car made by Hitler…

Dan Parker
Dan Parker
27 days ago
Reply to  Rust Buckets

Unavoidable it certainly is not, but present to the point that it turns off buyers who don’t share his vision it certainly is. The fact that there is something that requires actively ignoring, at least for some, is itself the problem.

Dinklesmith
Dinklesmith
28 days ago
Reply to  Rust Buckets

The fact that I have no idea what Jim Farley’s political views are is *entirely the point.*
Musk pushes dangerous right wing conspiracies and blatant transphobia. I don’t have to spend money to support that.

William Domer
William Domer
1 month ago

As it stands I cannot stomach that owner so ima gonna wait for a used Ionic5.

Morgan van Humbeck
Morgan van Humbeck
1 month ago
Reply to  William Domer

If I magically come into a bunch of money, that’s what I’d do also despite not being particularly swayed by who owns a given company

Rick Garcia
Rick Garcia
30 days ago
Reply to  William Domer

Why wait. They are doing crazy incentives right now. I love mine.

Urban Runabout
Urban Runabout
29 days ago
Reply to  William Domer

Bonus: Ioniq 5 & 6 have actual buttons and turn signal levers, and simple, traditional pull- latches to open the doors from the inside.

Anoos
Anoos
29 days ago
Reply to  William Domer

Check around for lease deals on new ones. With a lease, they qualify for the tax incentives. I got one a couple of months ago and I feel like I got a good lease deal on it.

Dogisbadob
Dogisbadob
1 month ago

Is LFP less prone to fire? Then the CATL might still be worth it.

But the real surprise is that Tesla uses different suppliers for the batteries. I thought that those cheapest Teslas were higher models throttled by software to the lower power/range.

Scoutdude
Scoutdude
1 month ago
Reply to  Dogisbadob

They have used software to limit the usable capacity of batteries in the past, and you could pay extra after the fact to have that range unlocked. In the case of the 3 I know some of that was to qualify for the tax credits/rebates when sold in Canada. They offered it at just enough lower price to qualify and then told the buyers they could come back after the fact and have that extra range unlocked as a separate transaction.

Cheap Bastard
Cheap Bastard
1 month ago
Reply to  Scoutdude

They have used software to limit the usable capacity of batteries in the past, and you could pay extra after the fact to have that range unlocked.

Does that affect the longevity of the pack though?

Gee See
Gee See
1 month ago
Reply to  Cheap Bastard

Nope the BMS is smart enough to manage charging /discharging of cells.

Last edited 1 month ago by Gee See
Scoutdude
Scoutdude
1 month ago
Reply to  Cheap Bastard

It depends on whether the limit the max or min SOC or split the difference. A software limited pack could have a longer life if the limiting was done at least in part by limiting max SOC. That would prevent it from being charged to 100% SOC which isn’t great for longevity. It is also possible to program it such that it increases the max SOC as the battery looses capacity to maintain the same useable capacity for a longer period of time. Not sure if Tesla would actually do such a thing. GM did do it on the early Volts.

Cerberus
Cerberus
1 month ago
Reply to  Dogisbadob

I don’t know the chemistry of the US cells (I assume they’re lion as that’s implied), but I would definitely want LFP over lion even with the hit to range per weight. They also tend to last more cycles.

Ron888
Ron888
30 days ago
Reply to  Dogisbadob

Yes, resistance to catching fire is LFP’s main selling point,along with longer life.Their drawback is lower capacity

Spikedlemon
Spikedlemon
1 month ago

As I understand, the LFP also had some serious challenges charging in the cold.

Gee See
Gee See
1 month ago
Reply to  Spikedlemon

Yes but remember the batteries are packed in a temperature controlled case vs say Leaf.

AlterId
AlterId
1 month ago

Despite the foul odor of Musk that hangs over Tesla, a Model 3 RWD at $35,000 + tax (and no dealer bullshit) is a tempting alternative to mainstream sedans.

Ranwhenparked
Ranwhenparked
1 month ago
Reply to  AlterId

Let’s face it, if you’re getting a Tesla, the RWD Model 3 Long Range is really the one to have anyway, I think I might take it over a Model S

AlterId
AlterId
1 month ago
Reply to  Ranwhenparked

Unless you’re in a climate where AWD is helpful or you’re trying to stave off penis enlargement surgery by bench-racing a Performance model, yeah, unless you want the cargo bay of a Model Y (which somehow seems as if it should be AWD but doesn’t need it any more than the 3.) And since Tesla’s published ranges tend to be optimistic, spec the 18″ wheels.

RidesBicyclesButLovesCars
RidesBicyclesButLovesCars
1 month ago

Not everyone qualifies for the tax credit. Apparently not enough of them were buying the base model 3.

I bought one last year, when it qualified for the tax credit. It’s a great EV (notice I didn’t say car) and I have zero regrets!

DONALD FOLEY
DONALD FOLEY
29 days ago

Is it true that at lower income levels with a tax burden less than $7,500, buyers don’t receive the full potential of the tax credit?

RidesBicyclesButLovesCars
RidesBicyclesButLovesCars
28 days ago
Reply to  DONALD FOLEY

That is correct. It’s only a tax credit on what you owe, up to $7,500.

My dad for example (retired, living off of Social Security and savings) wouldn’t qualify for the full credit. The base RWD without a tax credit would make more sense than the LR RWD with $2-3k of tax credit.

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