EV & MobilityNews wire, Yesterday

Tesla drops its cheapest all-wheel-drive Model Y and raises Premium trim prices

Reported by InsideEVs, Digital Trends, Teslarati and 1 more

Image: InsideEVs

Tesla has removed its cheapest all-wheel-drive Model Y from the US online configurator, according to reports published on 13 November 2026. The entry trim used to cost $41,990. It no longer appears in the Model Y ordering tool. Digital Trends reports that some already-built vehicles may still be bought, though it is unclear how many remain.

The trim arrived in early February, according to Electrek, and was gone after just over nine months. InsideEVs says it lasted less than a year, while Teslarati puts it at roughly nine months. It had 294 miles of range and reached 60 mph in 4.6 seconds, Electrek says. It cost $2,000 more than the single-motor version, which Electrek describes as sensible pricing for all-wheel drive.

The cheapest AWD Model Y now is the Premium AWD at $49,990, an increase of $8,000 on the removed trim. Electrek calculates a 19% rise over nine months. It also reports that Tesla raised both Premium trims by $1,000: the Premium RWD moved from $44,990 to $45,990, and the Premium AWD from $48,990 to $49,990. Tesla has not explained the changes.

Electrek lists the current US Model Y range, with prices before the destination fee. The rear-wheel-drive base costs $39,990, with 348 miles EPA range and 0-60 mph in 6.8 seconds. The Premium RWD is $45,990 with 355 miles and 5.4 seconds. The Premium AWD is $49,990 with 327 miles and 4.3 seconds. The Performance costs $57,990, and the six-seat Model Y L Premium is $61,990. Digital Trends notes that the base RWD misses features such as heated rear seats, a second-row touchscreen, FM radio, ventilated seats and a smaller speaker setup.

Electrek says two explanations are plausible. Either Tesla is short of build slots and prefers higher-margin Premium trims, or the cheap AWD was not selling well. Neither reason has been confirmed. Either way, buyers now face a higher entry price for an all-wheel-drive Model Y.

Teslarati and InsideEVs place the change within a wider reduction of Tesla's lineup. The Model S and Model X were discontinued earlier, and Cybertruck production is being wound down, with the model due to be phased out in 2027. InsideEVs notes that the mainstream range is now the Model 3 and four Model Y variants.

Electrek compares rivals. The 2027 Chevrolet Equinox EV in LT 1 AWD trim starts at $40,295, and Ford's Mustang Mach-E Select AWD starts at $40,795. Both are more than $9,000 below the cheapest Tesla AWD model now. Shoppers in cold regions face fewer choices, Electrek says.

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How each source covered it

Original reporting by the sources above. Summary by smart-home.space.