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Tesla takes away premium features and lowers entry price of Model 3

  • 19 August 2024
  • 34 comments
  • 2 minute read
  • Riz Akhtar
Image: Tesla
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Tesla has made a surprise change to its entry-level Model 3 by reducing some of the premium features it offers in the recently upgraded model.

For the first time, Tesla’s Model 3 will see cloth seats being offered and the removal of ventilated and heated seats to help it reduce the price of the Model 3 it offers. The heated steering wheel option has also been removed.

The more basic version of the car has just been announced in Mexico and helps save about $A4,000 over the price of the Model 3 with those inclusions.Ā 

This new more basic version helps bring the cost of the Model 3 RWD in the Mexico market to the equivalent of around $A60,250. For comparison, Tesla sells the same car without any reductions in Australia for $54,900 before on-roads.

Image: Tesla

Other key changes include the removal of the RGB ambient lighting and only offering white light as the option on the new car.

The rear infotainment screen has also been removed and has been replaced with just air vents. On top of that acoustic glass has been removed from the rear and glass roof sections.

Speaking of acoustics, the RWD Model 3 will also see a basic audio system with 9 speakers and 1 subwoofer, down from the 17 speakers and 2 subwoofers found in the Long Range and Performance vehicles.

The changes were highlighted by an Australian EV enthusiast, Rob, who shared it with us on X:

@LudicrousFeed @Rizflip https://t.co/maVcd79U1F

— Rob S (@__Madcat__) August 16, 2024

This is change in strategy for Tesla, which has usually tried to add more premium features into its models. Over the last couple of years, Tesla has incorporated better sound insulation, ambient lighting, a rear screen in the Model 3, a heated steering wheel, ventilated seats, higher resolution cameras and an improved sound system.

Many of these were introduced in the new Model 3 which has continued to find new buyers in a tough car market in 2024.

Image: Riz Akhtar

With some of these features being removed, it hints at an approach Tesla might try in some markets as it looks to reveal its more affordable models in the coming months.

It could also give a heads-up on the features that may not be offered on the more affordable models in the company’s future lineup.

One thing is for certain, Tesla continues to try various approaches to help maintain its sales and plan for the launch of its more popular future models.

Riz Akhtar
Riz Akhtar

RizĀ is the founder of carloop based in Melbourne, specialising in Australian EV data, insight reports and trends. He is a mechanical engineer who spent the first 7 years of his career building transport infrastructure before starting carloop. He has a passion for cars, particularly EVs and wants to help reduce transport emissions in Australia. He currently drives a red Tesla Model 3.

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