Tesla appears to be preparing to launch its new Model Y units in North America, as substantial discounts on legacy Model Y inventory units have gone live.
After Tesla launched the highly anticipated Model Y refresh in the Asia-Pacific and European markets earlier this month, many have been wondering when the company will debut the vehicle in the U.S. and Canada. The redesign is expected by some to launch in Tesla’s home market in the coming weeks, and recent discounts on inventory units of the legacy Model Y in both the U.S. and Canada suggest that this may be right.
This week, Tesla launched price cuts of up to $4,120 on inventory Model Y units in the U.S. and Canada, as seen on the company’s website. At the time of writing, the company is offering a variety of discounts in areas across both countries, a move that is commonly used to clear out inventory to make way for upcoming refresh versions.
At the time of writing, we were able to find Model Y units with discounts ranging from $960 to $2,500, with multiple Long Range AWD trim options getting the max price reduction. Prior to the inclusion of local tax credits and the $7,500 electric vehicle (EV) tax credit, the latter of which is widely expected to go away under the incoming Trump administration, some LR AWD units are selling for a starting price of $47,490, despite also including add-ons such as Quicksilver or Ultra Red paint or induction wheels.
For the Performance trim, we were able to find a few upgraded units with discounts of $4,120, with prices dropping as low as $47,370 before credits. As such, this could be a good time to pick up the legacy Model Y ahead of the refresh launch, especially if you’re looking for something full spec at the base price. When considering the tax credit, some of these AWD LR units saw their prices drop to as low as $39,990 with upgrades, or as low as $37,490 for the RWD configuration.
For example, Tesla has been offering inventory discounts on its legacy Model Y in China in recent weeks, even still offering many since the vehicle’s launch, and prior to its debut, the company was also offering a wide range of promotions on the vehicle. During the company’s launch of the refreshed Model 3 in 2023 and 2024, Tesla also launched significant legacy Model 3 discounts in the U.S. in the months leading up to the North America debut, when it had already launched in the Asia-Pacific, Europe and Middle East markets.
Credit: Tesla
READ MORE ON TESLA MODEL Y REFRESH: Tesla’s refreshed Model Y design should make repairing this part easier
Tesla’s new Model Y: lightbars, front-facing camera and more
Sightings of Tesla’s new Model Y have been spotted since as early as mid-2024, and sightings have been increasing significantly over the past several weeks leading up to the launch in other markets. Before the official launch, many correctly speculated that covered versions of the model appeared to include lightbars on both the front and rear bumpers, as opposed to the more traditional headlights and taillights that can be found on the legacy models.
Tesla also added a front-facing camera to the new Model Y, which offers a wider field of view for its semi-automated features such as Autopilot, Actually Smart Summon and Supervised Full Self-Driving (FSD), which is expected to launch in China sometime this year. It’s not exactly clear just yet when Tesla plans to launch the new Model Y in the U.S. or Canada, though we wouldn’t be surprised to see it launch as soon as this month—especially with some of these massive discounts going live.
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Tesla UK sales see 14% year-over-year rebound in June: SMMT data
The SMMT stated that Tesla sales grew 14% year-over-year to 7,719 units in June 2025.
Tesla’s sales in the United Kingdom rose in June, climbing 14% year-over-year to 7,719 units, as per data from the Society of Motor Manufacturers and Traders (SMMT). The spike in the company’s sales coincided with the first deliveries of the updated Model Y last month.
Model Y deliveries support Tesla’s UK recovery
Tesla’s June performance marked one of its strongest months in the UK so far this year, with new Model Y deliveries contributing significantly to the company’s momentum.
While the SMMT listed Tesla with 7,719 deliveries in June, independent data from New AutoMotive suggested that the electric vehicle maker registered 7,891 units during the month instead. However, year-to-date figures for Tesla remain 2% down compared to 2024, as per a report from Reuters.
While Tesla made a strong showing in June, rivals are also growing. Chinese automaker BYD saw UK sales rise nearly fourfold to 2,498 units, while Ford posted the highest EV growth among major automakers, with a more than fourfold increase in the first half of 2025.
Overall, the UK’s battery electric vehicle (BEV) demand surged 39% to to 47,354 units last month, helping push total new car sales in the UK to 191,316 units, up 6.7% from the same period in 2024.
EV adoption accelerates, but concerns linger
June marked the best month for UK car sales since 2019, though the SMMT cautioned that growth in the electric vehicle sector remains heavily dependent on discounting and support programs. Still, one in four new vehicle buyers in June chose a battery electric vehicle.
SMMT Chief Executive Mike Hawes noted that despite strong BEV demand, sales levels are still below regulatory targets. “Further growth in sales, and the sector will rely on increased and improved charging facilities to boost mainstream electric vehicle adoption,” Hawes stated.
Also taking effect this week was a new US-UK trade deal, which lowers tariffs on UK car exports to the United States from 27.5% to 10%. The agreement could benefit UK-based EV producers aiming to expand across the country.
News
Tesla Model 3 ranks as the safest new car in Europe for 2025, per Euro NCAP tests
Despite being on the market longer than many of its rivals, the Tesla Model 3 continues to set the bar for vehicle safety.
The Tesla Model 3 has been named the safest new car on sale in 2025, according to the latest results from the Euro NCAP. Among 20 newly tested vehicles, the Model 3 emerged at the top of the list, scoring an impressive 359 out of 400 possible points across all major safety categories.
Tesla Model 3’s safety systems
Despite being on the market longer than many of its rivals, the Tesla Model 3 continues to set the bar for vehicle safety. Under Euro NCAP’s stricter 2025 testing protocols, the electric sedan earned 90% for adult occupant protection, 93% for child occupant protection, 89% for pedestrian protection, and 87% for its Safety Assist systems.
The updated Model 3 received particular praise for its advanced driver assistance features, including Tesla’s autonomous emergency braking (AEB) system, which performed well across various test scenarios. Its Intelligent Speed Assistance and child presence detection system were cited as noteworthy features as well, as per a WhatCar report.
Other notable safety features include the Model 3’s pedestrian-friendly pop-up hood and robust crash protection for both front and side collisions. Euro NCAP also highlighted the Model 3’s ability to detect vulnerable road users during complex maneuvers, such as turning across oncoming traffic.
Euro NCAP’s Autopilot caution
While the Model 3’s safety scores were impressive across the board, Euro NCAP did raise concerns about driver expectations of Tesla’s Autopilot system. The organization warned that some owners may overestimate the system’s capabilities, potentially leading to misuse or inattention behind the wheel. Even so, the Model 3 remained the highest-scoring vehicle tested under Euro NCAP’s updated criteria this year.
The Euro NCAP’s concerns are also quite interesting because Tesla’s Full Self-Driving (FSD) Supervised, which is arguably the company’s most robust safety suite, is not allowed for public rollout in Europe yet. FSD Supervised would allow the Model 3 to navigate inner city streets with only minimal human supervision.
Other top scorers included the Volkswagen ID.7, Polestar 3, and Geely EX5, but none matched the Model 3’s total score or consistency across categories. A total of 14 out of 20 newly tested cars earned five stars, while several models, including the Kia EV3, MG ZS, and Renault 5, fell short of the top rating.
Elon Musk
Why Tesla’s Q3 could be one of its biggest quarters in history
Tesla could stand to benefit from the removal of the $7,500 EV tax credit at the end of Q3.
Tesla has gotten off to a slow start in 2025, as the first half of the year has not been one to remember from a delivery perspective.
However, Q3 could end up being one of the best the company has had in history, with the United States potentially being a major contributor to what might reverse a slow start to the year.
Earlier today, the United States’ House of Representatives officially passed President Trump’s “Big Beautiful Bill,” after it made its way through the Senate earlier this week. The bill will head to President Trump, as he looks to sign it before his July 4 deadline.
The Bill will effectively bring closure to the $7,500 EV tax credit, which will end on September 30, 2025. This means, over the next three months in the United States, those who are looking to buy an EV will have their last chance to take advantage of the credit. EVs will then be, for most people, $7,500 more expensive, in essence.
The tax credit is available to any single filer who makes under $150,000 per year, $225,000 a year to a head of household, and $300,000 to couples filing jointly.
Ending the tax credit was expected with the Trump administration, as his policies have leaned significantly toward reliance on fossil fuels, ending what he calls an “EV mandate.” He has used this phrase several times in disagreements with Tesla CEO Elon Musk.
Nevertheless, those who have been on the fence about buying a Tesla, or any EV, for that matter, will have some decisions to make in the next three months. While all companies will stand to benefit from this time crunch, Tesla could be the true winner because of its sheer volume.
If things are done correctly, meaning if Tesla can also offer incentives like 0% APR, special pricing on leasing or financing, or other advantages (like free Red, White, and Blue for a short period of time in celebration of Independence Day), it could see some real volume in sales this quarter.
You can now buy a Tesla in Red, White, and Blue for free until July 14 https://t.co/iAwhaRFOH0
— TESLARATI (@Teslarati) July 3, 2025
Tesla is just a shade under 721,000 deliveries for the year, so it’s on pace for roughly 1.4 million for 2025. This would be a decrease from the 1.8 million cars it delivered in each of the last two years. Traditionally, the second half of the year has produced Tesla’s strongest quarters. Its top three quarters in terms of deliveries are Q4 2024 with 495,570 vehicles, Q4 2023 with 484,507 vehicles, and Q3 2024 with 462,890 vehicles.
Tesla UK sales see 14% year-over-year rebound in June: SMMT data
Tesla Model 3 ranks as the safest new car in Europe for 2025, per Euro NCAP tests
Why Tesla’s Q3 could be one of its biggest quarters in history
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