Tesla fightback! With new rivals arriving from XPeng, Deepal, Leapmotor, BYD, Zeekr and Geely, expect the 2025 Model Y to get cheaper

The updated Tesla Model Y arrives in May – but it’s not the end of the story for the mid-sized electric SUV.

See below for a list of what’s changed for the 2025 Tesla Model Y.

For Australia, the top-selling EV in the country will kick off as a “Launch Series” that the company says is a “limited release”.

Exactly how limited it is and how it differs from the yet-to-be-announced regular Tesla Model Y remains to be seen.

READ MORE: Tesla Model Y ‘Juniper’ update revealed
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But the short story is there will be other models coming, making the popular electric SUV both more affordable and faster.

Here’s what you can expect with the Model Y over the coming months.

A cheaper Model Y is on the way

The first change you can expect is the price, which is set to get cheaper.

The 2025 Model Y currently starts at $63,400 for the Rear-Wheel Drive and $73,400 for the Long Range Launch Series (each exclusive of on-road costs). The models they replace were selling for $55,900 for the RWD and $69,900 for the Long Range.

While you may not see a return to those prices, you can absolutely expect something thousands of dollars cheaper than the Launch Series.

That’s especially important when you look at the competitors.

The Model Y has long been one of the most affordable mid-sized electric SUVs and anything priced much higher – Ford Mustang Mach-E, Toyota bZ4X, Subaru Solterra and Skoda Enyaq among them – tends to sell in a trickle.

With a plethora of new sharply-priced arrivals – including the XPeng G6, Deepal S07, Zeekr X and upcoming BYD Sealion 7 – the pressure is on to ensure value is still a Model Y strong suit.

But… there will be less equipment

The Model Y Launch Series comes loaded with gear, including 20-inch wheels, ambient lighting, panoramic sunroof, heated and ventilated seats front and rear, ventilated front seats, electrically adjustable front seats and a powered tailgate. There are also electric split-folding back seats.

We’d expect those 20-inch wheel to be downgraded to 19s on the regular models, in line with what’s offered on the updated Model Y overseas (and what was available previously).

There’s a possibility the new electric folding back seats could also be limited to some models or offered as an option.

Also expect the Long Range to lose its standard Acceleration Boost pack.

This is a software upgrade that has previously been offered as an option, in turn boosting power and lowering the 0-100km/h acceleration time.

Our guess is that will go back to being an extra-cost option.

Model Y colours could soon cost more

Tesla has long offered white as the only standard colour in Australia, with the more vibrant hues adding thousands to the price.

But the Model Y Launch Series offers all colours for the same price.

When the regular (non-Launch Series) Model Y arrives we wouldn’t be surprised to see Tesla start charging again for premium colours.

There will also be a faster Model Y

You can also expect a Model Y Performance to complete the family.

Tesla has long had range-topping Performance models at the top of the Model 3 and Model Y ranges.

With the Model 3 – the sedan version of the Model Y – it took a few months for the Performance to join the family.

So sometime throughout 2025 we’d expect to see a Model Y Performance join the party.

The big question will be what it costs.

Somewhere around $85,000 before on-road costs seems a likely place for it to land.

That would allow it to slide in under the all-important fringe benefits tax (FBT) exemption for EVs, which tops out at the luxury car tax (LCT) threshold (currently $91,387).

Tesla will no doubt be hoping it can ramp up interest in the Model Y Performance.

As the most expensive variant it’s also the one that sells in the lowest numbers; last year just 3.2 percent of the 21,253 Model Ys sold here were Performance variants.

However, with the rejig of the Model 3 Performance Tesla has managed to boost the number of Performance variants sold to 7.1 percent.

It’s only a matter of time

Of course, the big question is when all this will happen.

Tesla is notoriously unpredictable and doesn’t give many clues as to when things can or may change.

We’d expect the more affordable regular versions of the Model Y to arrive pretty quickly.

And the Model Y Performance is likely to also arrive fairly  

2025 Tesla Model Y ‘Juniper’ update: What’s changed

• New bonnet and new tailgate
• New Cybertruck-inspired lights front and rear
• New bumpers front and rear
• New 20-inch wheels (19-inch wheels likely to be offered later)
• New interior trim for a classier look
• Seat ventilation for the front seats
• Ambient lighting in the cabin
• Addition of front camera for parking
• Addition of 8-inch rear touchscreen with video streaming and game functionality
• New colour added – “Glacier Blue” – and deletion of Solid Black colour
• Removal of the right-hand steering wheel stalk (previously used to toggle between Drive and Reverse)
• New steering wheel with Tesla spelled out across its face
• Removal of the Telsa logos from the tailgate and bonnet
• Added power to lower the 0-100km/h times
• Revised suspension with frequency selective dampers
• Lower rolling resistance tyres
• Lower electronically limited top speed of 201km/h (previously 217km/h)
• Base Rear-Wheel Drive no longer gets a premium sound system
• Improved data capability for clearer phone calls and faster software downloads
• New acoustic glass windscreen for a quieter cabin
• Revised glass said to reflect seven times more solar energy
• Efficiency improvements to increase the range (+11km on RWD, +18km on LR)
• Marginally faster DC charging for the RWD (175kW maximum, previously 170kW)

2024 Tesla Model Y vs 2025 Tesla Model Y: Specifications compared

	2024 Tesla Model Y RWD	2025 Tesla Model Y RWD Launch Series
Price	$55,900	$63,400
Colour options	Pearl White, Solid Black, Deep Blue Metallic, Stealth Grey, Quick Silver, Ultra Red	Pearl White, Glacier Blue, Stealth Grey, Quicksilver, Ultra Red
Range	455km	466km
0-100km/h	6.9 seconds	5.9 seconds
Top speed	217km/h	201km/h
AC charging maximum	11kW	11kW
DC charging maximum	170kW	175kW
Sound system	Premium	Standard
Panoramic sunroof	Yes	Yes
Heated seats	Front and 3 rear	Front and outer rear
Ventilated front seats	No	Yes
Ambient lighting	No	Yes
Powered tailgate	Yes	Yes
Power folding rear seats	No	Yes
15.4-inch infotainment screen	Yes	Yes
8-inch rear infotainment screen	No	Yes

	2024 Tesla Model Y Long Range	2025 Tesla Model Y Long Range Launch Series
Price	$69,900	$73,400
Range	533km	551km
0-100km/h	5.0 seconds	4.3 seconds
Acceleration Boost	Standard	Optional
AC charging maximum	11kW	11kW
DC charging maximum	250kW	250kW
Sound system	Premium	Premium
Panoramic sunroof	Yes	Yes
Heated seats	Front and 3 rear	Front and outer rear
Ventilated front seats	No	Yes
Ambient lighting	No	Yes
Powered tailgate	Yes	Yes
Power folding rear seats	No	Yes
15.4-inch infotainment screen	Yes	Yes
8-inch rear infotainment screen	No	Yes