Tesla has raised the price of the Model Y in the United States. The price increase affects three of the five variants available in the U.S., and is the first increase for the electric SUV in nearly two years.
According to update to Tesla’s online configurator on Saturday, the automaker increased pricing on the Model Y Premium Rear-Wheel Drive (RWD) and Model Y Premium All-Wheel Drive (AWD) by US$1,000 each. The two trims now start at US$45,990 and US$49,990 respectively.
Tesla also raised the price of the Model Y Performance, although by a smaller amount. That variant now starts at US$57,990, up US$500 from its previous price.
There were no price changes for the two “Standard” trims, the RWD and AWD versions, with both still starting at US$39,990 and US$41,990 respectively.
There have been no corresponding price changes in Canada. Tesla’s Canadian configurator still shows existing pricing across the entire Model Y lineup as of Saturday morning. Tesla now supplies the Canadian market from Giga Berlin to avoid tariffs when importing vehicles from the U.S.
The price increase is notable because Tesla has spent much of the last two years cutting prices across its lineup in an effort to boost demand. While Tesla has adjusted pricing several times over the years, increases have become relatively rare, particularly for the Model Y.
The last time Tesla raised Model Y prices in the United States was all the way back in 2024, when every trim received a US$1,000 increase. Since then, most pricing adjustments have moved in the opposite direction, often accompanied by financing incentives, discounted inventory vehicles, and promotional offers.
Tesla has not provided an official explanation for the latest price increase, but the timing is interesting. The company recently began ramping production of updated Model Y variants at multiple factories, while demand in North America appears to be stabilizing after several quarters of softer EV sales growth industry-wide.
The price adjustments could point to Tesla seeing strong order activity for the Premium Model Y lineup in the U.S.
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