Tesla launches new Model Y AWD at $41,990 — just $2,000 more than base

Tesla has added a fifth Model Y variant to its US lineup: a new Standard All-Wheel Drive model priced at $41,990. For just $2,000 over the base rear-wheel drive version, buyers get dual motors and significantly better acceleration without having to pay for all the “premium” features.

The new Model Y AWD

The new variant slots in between the Standard RWD ($39,990) and Premium RWD ($44,990), offering AWD capability at an accessible price point.

Key specs:

  • Price: $41,990 (before incentives)
  • Range: 294 miles EPA
  • 0-60 mph: 4.6 seconds
  • Drivetrain: Dual motor AWD

For comparison, the base Model Y RWD takes 6.8 seconds to hit 60 mph. The new AWD version cuts that nearly in half while adding the traction benefits of all-wheel drive — all for a $2,000 premium.

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The trade-off is range: the RWD version offers 321 miles, while the AWD drops to 294 miles. For most buyers, 294 miles is more than sufficient for daily driving, and the improved performance and handling may be worth the 27-mile reduction.

Full US Model Y lineup

Tesla now offers five Model Y configurations in the United States:

Variant Price Range 0-60
Standard RWD $39,990 321 mi 6.8s
Standard AWD $41,990 294 mi 4.6s
Premium RWD $44,990 357 mi 5.9s
Premium AWD $48,990 327 mi 4.8s
Performance AWD $57,450 306 mi 3.5s

The “Standard” variants feature a stripped-down interior and exterior compared to the Premium models, which Tesla introduced last October to offer a lower entry price.

With the release of the new base Model Y AWD, Tesla appears to have dropped the term “Standard” introduced with the decontented version last year. It now only refers to what used to be the regular Model Y as “Premium.”

Electrek’s Take

The $2,000 premium for AWD is genuinely reasonable, and more in line with what other automakers in that price range charge for an all-wheel drive dual motor upgrade.

For buyers in regions with winter weather, or anyone who simply wants the improved traction and acceleration, the new Standard AWD offers compelling value.

At $41,990 before any local incentives, if they apply, it makes it one of the more affordable ways to get into an AWD electric SUV from any manufacturer.

The timing makes sense too. As we have been reporting for the last few months, Tesla is starting to feel a lot of pressure on the top-end of its best-selling Model Y lineup with the launches of the BMW iX3, Volve EX60, Mercedes-Benz GLC Electric, and the upcoming Rivian R2.

Tesla is better off going down-market with the Model Y than competing with these.

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