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Tesla Model S, Model X, and Model Y receive new round of price adjustments in the US

Credit: Tesla

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2 years ago

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Tesla has implemented a series of price adjustments to the Model S, Model X, and Model Y. With their price adjustments, the two flagship vehicles and Tesla’s best-selling car have become a bit more affordable for consumers. The reengineered Tesla Model 3, which was launched in the United States last January, was not affected by the recent round of price cuts. 

As observed by Tesla community members, the Model S sedan has received a price cut of $2,000. With the adjustments in place, the flagship all-electric premium sedan now starts at $72,990 for the Dual Motor All Wheel Drive (AWD) version and $87,990 for the top-tier Model S Plaid. Previously, the two variants started at $74,990 and $89,990, respectively. 

Tesla’s other flagship vehicle, the Model X SUV, also received a $2,000 price cut. With the price reduction in place, the Model X Long Range AWD now starts at $77,990, and the Model X Plaid starts at $92,990. The two trims were previously priced at $79,990 and $94,990, respectively. Interestingly enough, the Model X Dual Motor AWD qualifies for federal tax credits, so customers could acquire the vehicle for $70,490 after incentives are applied. 

The Tesla Model Y crossover received a $2,000 price adjustment as well. With the price cut in place, the Model Y Rear Wheel Drive (RWD) now starts at $42,990, the Model Y Long Range Dual Motor AWD now starts at $47,990, and the Model Y Performance now starts at $51,490. Prior to the recent price adjustments, the Model Y RWD started at $44,990, the Model Y Long Range Dual Motor AWD started at $49,990, and the Model Y Performance started at $53,490. 

The Tesla Model Y, like the Model X Dual Motor AWD, qualifies for the IRA’s $7,500 incentive. Thus, after the federal tax credit is applied, the Model Y RWD’s cost drops to a very affordable $35,490 before options. The Model Y Long Range Dual Motor AWD’s cost drops to $40,490 before options, and the Model Y Performance’s cost drops to $43,990 before options after the $7,500 federal tax credit is applied as well. 

It remains to be seen if Tesla’s recent round of price adjustments would effectively increase the number of orders for the Model S, Model X, and Model Y, since a $2,000 reduction in a vehicle’s overall price would probably not be much of an adjustment for consumers’ monthly payments. This seems to be one of the reasons why Tesla China, in its recent promotions for the Giga Shanghai-made Model 3 and Model Y, focused on zero-interest loans and low downpayment offers. With such initiatives, customers’ savings become more prominent upfront, or at least more evident as they pay off their vehicle loans. 

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla Model Y L’s new features flexed at unveiling event at Diner

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1 hour ago

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July 31, 2026

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Tesla Model Y L in a field
Credit: Tesla

Tesla flexed the new features of the Model Y L with a dedicated media event at the company’s Diner on Santa Monica Boulevard in Los Angeles.

The Model Y L is the extended-wheelbase version of the all-electric crossover, which has been voted the best-selling car in the world on three occasions. The vehicle is already rolling off production lines at Gigafactory Texas, and first deliveries are slated to take place later this year.

Tesla brings Model Y L ‘Launch Series’ to the U.S. at $61,990

Teslarati was invited to the event, but due to some scheduling conflicts, we could not make it to Los Angeles. Instead, we will have our hands on a media unit sometime in August, so we’ll be able to spend some more extended time with the Model Y L.

However, plenty of those who made it to LA shared some cool features that set the Model Y L apart from the Model Y.

Multi-Row Climate Control

Tesla fitted the Model Y L with full climate control on all three rows on the front screen. It can be adjusted by selecting which row you’d like to modify on the right-hand side of the touch screen:

Better Rear Window Visibility

One of the strangest things about the Model Y, especially the Juniper iteration, is the rear window has extremely limited visibility when looking into the rearview mirror.

Tesla has improved upon this with the Model Y L:

PowerShare will be included

Model Y L will come with PowerShare in North America, with an 11.5kW output to your home. Tesla said it would require Powerwall 3 for operation.

Wireless Charging Pad

There has been some speculation that Tesla would upgrade the wireless charging pads in the United States, but this is not the case.

Tesla owner fixes common feature complaint with crafty DIY retrofit

Tesla confirmed that it does not come with the cooled pads as the Y L in China does. This is because North America has not adopted Qi charging yet.

Thermal Management Improvements

These improvements in the Model Y L were seen with thermal management:

  • Up to 15% faster cabin cooling
  • +23% thermal efficiency gained in hot weather, 7 miles of real-world range gained
  • 8x more solar energy reflection off of glass roof
  • 30% reduction in solar energy entering the cabin

Demand

Tesla said the Model Y L is almost sold out in the U.S. It comes with

  • 1 year of FSD Supervised
  • 1 year of Supercharging
  • 1 year of Premium Connectivity
  • Free exterior paint color, interior, and wheel option at no additional cost
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Elon Musk

Tesla CEO Elon Musk denies ridiculous Gigafactory Shanghai rumor

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3 hours ago

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July 31, 2026

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(Credit: Tesla)

Tesla CEO Elon Musk took to his social media platform X on Thursday night to deny a ridiculous rumor regarding the sale of the company’s Chinese vehicle production plant, Gigafactory Shanghai.

On Thursday, the Wall Street Journal, citing sources familiar with the matter, claimed in a scathing new report that Tesla was exploring a potential sale of the entire China business in an effort to help bolster a potential merger between SpaceX and Tesla.

Musk immediately denied the rumor not once but twice, initially calling it “fake news,” and then calling it “absurdly fake news” in a separate post just a few moments later:

The original poster of the Wall Street Journal article that Musk saw deleted the initial post sharing the headline and the rumored sale of Tesla’s China business.

The report seemed absolutely and unequivocally false to begin with; Tesla’s business in China is among the most important pieces of the company’s business. Not only does the factory supply vehicles for the domestic market, but also for various other markets in Asia and Europe.

China is also one of the largest automotive markets in the world, and Tesla has performed well there despite the robust competition.

The speculation regarding a Tesla and SpaceX merger has started to gain steam this year as the space exploration company went public just a month ago. There has been speculation that Musk will bridge all of his companies under one “umbrella company,” and analysts believe this could happen before the end of the decade.

The Tesla and SpaceX merger everyone is talking about is quietly building

This is the latest iteration of Musk’s very evident war on mainstream media. Reports regarding any of Musk’s companies are quick to get the dreaded “false” or “fake news” response from the CEO when they are unfounded.

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Elon Musk

Tesla AI boss reveals how big Optimus is going to get

Tesla’s Optimus chief corrected himself on X, confirming a staggering 10 million robot production target.

Published

11 hours ago

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July 31, 2026

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Tesla Optimus Gen 3 [Credit: Tesla]

Tesla’s Optimus program has a new number attached to it, after Ashok Elluswamy, the executive who has run the humanoid robot program since June 2025, posted a three word correction on X Thursday, “Correction, 10 million robots.”

The line clarifies the long term annual capacity Tesla is building toward its planned second Optimus production line at Gigafactory Texas, a figure Musk has cited repeatedly since last year’s shareholder meeting.

The scale is worth noting, because ten million robots a year would mean Tesla building more units annually than most countries sell in new cars. Tesla has framed this as a second line, not the first. The buildout is happening in two phases: a roughly one million unit per year line inside Tesla’s Fremont factory, installed on the floor space vacated when Model S and Model X production ended earlier this year, and a much larger dedicated facility under construction at Giga Texas that broke ground on its first steel structure in May. That Texas facility is the one Elluswamy’s correction refers to, and is expected to reach volume production sometime in 2027.

Tesla Optimus project fires up as Musk sees production line progress

Elluswamy took over Optimus from Milan Kovac last summer and has spent the months since talking up the program’s trajectory. Elon Musk has also floated the ten million figure at Tesla’s 2025 shareholder meeting.

Ending Model S and Model X production to make room for the first Optimus line was one of the more consequential manufacturing decisions in the company’s recent history, retiring two flagship vehicles in favor of a robot that has yet to enter mass production. Musk has previously estimated per unit production costs at $20,000 to $25,000 once Tesla reaches a million units a year, though he hasn’t said what that cost looks like at ten times the volume.

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