Tesla plans to introduce a cheaper version of its Model Y in the US on October 7, 2025.

The move comes after federal tax credits of up to US$7,500 for EVs expired this month, making some Tesla models less affordable.

The new base Model Y will use less premium materials and exclude certain features to lower costs, according to people familiar with the matter.

CEO Elon Musk said the company aims to make the Model Y cheaper due to high demand and consumer price sensitivity.

🔗 Source: Bloomberg