$35,000 Tesla Model 3 Available Now
By Tesla Team
March 1, 2019
are incredibly excited to announce that the standard Model 3, with 220
miles of range, a top speed of 130 mph and 0-60 mph acceleration of 5.6
seconds is now available at $35,000! Although lower in cost, it is built
to achieve the same perfect 5-star safety rating as the longer-ranged
version, which has the lowest probability of injury of any car ever
tested by the U.S. Government.
In addition, we are introducing the Model 3 Standard Range Plus, which
offers 240 miles of range, a top speed of 140 mph, 0-60 mph acceleration
of just 5.3 seconds and most premium interior features at $37,000 before
incentives. For 6% more money, you get 9% more range, more power, and an
To achieve these prices while remaining financially sustainable, Tesla
is shifting sales worldwide to online only. You can now buy a Tesla in
North America via your phone in about 1 minute, and that capability will
soon be extended worldwide. We are also making it much easier to try out
and return a Tesla, so that a test drive prior to purchase isn’t needed.
You can now return a car within 7 days or 1,000 miles for a full refund.
Quite literally, you could buy a Tesla, drive several hundred miles for
a weekend road trip with friends and then return it for free. With the
highest consumer satisfaction score of any car on the road, we are
confident you will want to keep your Tesla.
Shifting all sales online, combined with other ongoing cost
efficiencies, will enable us to lower all vehicle prices by about 6% on
average, allowing us to achieve the $35,000 Model 3 price point earlier
than we expected. Over the next few months, we will be winding down many
of our stores, with a small number of stores in high-traffic locations
remaining as galleries, showcases and Tesla information centers. The
important thing for customers in the United States to understand is
that, with online sales, anyone in any state can quickly and easily buy
At the same time, we will be increasing our investment in the Tesla
service system, with the goal of same-day, if not same-hour service, and
with most service done by us coming to you, rather than you coming to
us. Moreover, we guarantee service availability anywhere in any country
in which we operate.
We’re also excited to announce that we’re implementing a number of
firmware upgrades for both new and existing customers. These upgrades
will increase the range of the Long Range Rear-Wheel Drive Model 3 to
325 miles, increase the top speed of Model 3 Performance to 162 mph, and
add an average of approximately 5% peak power to all Model 3 vehicles.
Elon Musk memo:
Last month, I noted in my email that
the fundamental issue Tesla must overcome is that our products remain
too expensive for most people. We know there are many people who want to
buy Model 3, but simply can't afford to do so.
That is why we're excited to announce today that we are now offering the
standard Model 3 at $35,000. This is a significant milestone for Tesla,
the culmination of years of hard work by employees across the company,
and something of which you should all be very proud.
In addition, we are also making the decision to shift all sales
worldwide to online only.
Last year, 78% of all Model 3 orders were placed online, rather than in
a store, and 82% of customers bought their Model 3 without ever having
taken a test drive. Customers can now buy a Tesla in North America via
their phone in about 1 minute, and that capability will soon be extended
worldwide. We are also making it much easier to try out and return a
Tesla without a test drive. You can now return a car within 7 days or
1,000 miles for a full refund. Customers are becoming increasingly
comfortable making purchases online, and that is especially true for
Tesla — which is a testament to the products we make.
As a result, over the next few months, we will be winding down many of
our stores and significantly reducing our spend on sales and marketing,
which will help make the price changes we've announced today possible.
Shifting all sales online combined with other ongoing cost efficiency
will enable us to lower all vehicle prices by about 6% on average,
allowing us to achieve the $35,000 Model 3 price point.
small number of stores in high-traffic locations will remain as
galleries, showcases and Tesla information centers. At the same time, we
will be increasing our investment in the Tesla service system and
manufacturing, and I expect that headcount to grow next year.
Unfortunately, this means that some jobs will be impacted or
transitioned to other areas of the business. This is a hard decision,
but it necessary to make our cars more affordable. Our sales team has
fought on the front lines of advancing our mission and has been our
connection to hundreds of thousands of customers along the way. I want
to express my sincere gratitude for all that you've done.
In the coming weeks, we will be evaluating all of our sales and
marketing organization to understand where there are operation
efficiencies, and how best to support the transition to online sales
while also continuing to deliver a truly awesome and education Tesla
We'll be sharing more information on this transition soon.