The cheapest Tesla in history, its bare-bones condition made Chinese car owners laugh.

Tesla's new car launch strategy, much like the style of its boss Elon Musk, is always full of "surprises".

After suddenly launching the refreshed Model Y in the Chinese mainland a few months ago, Tesla has come up with another big move that has made it a worldwide trending topic these days.

On October 7th, US time, Tesla quietly announced the launch of two new cars on its US official website - the standard versions of Model Y and Model 3. According to the introduction, the prices of the two standard - version new cars are $39,990 (approximately RMB 285,000) and $36,990 (approximately RMB 264,000) respectively.

This price has also earned these two standard versions the title of "the cheapest new Tesla cars in history".

Tesla's "affordable" new cars have topped the worldwide trending lists. (Photo/Tesla US official website)

Judging from the introduction alone, the cheap standard - version Teslas are quite appealing. It seems that Tesla is implementing the last step of its "three - step" strategic blueprint, which is "using the money earned to build a truly affordable electric car for the general public" to become a legend in the automotive industry. After all, since Tesla gained fame, the outside world has always remembered this "three - step" strategy, and the first two steps have already been achieved.

However, when the cheap Teslas are actually presented, the market's response is not very flattering.

On the day of the new car launch, Tesla lost $65 billion in market value overnight in the US stock market. Although the stock price rebounded the next day, its decline within 5 days still exceeded 6%. Such volatile market performance seems to tell us that there is still a significant gap between Musk's grand vision of "everyone being able to afford a Tesla" and social demand.

To sum it up with netizens' jokes, Tesla's "affordable models" seem to be out, but they are just expensive and shabby "bare - bones cars".

01

Everything Is "Cheap" Except the Car Price

Although the first batch of the two standard - version Teslas is targeted at the North American market, it doesn't stop people around the world from getting a glimpse of the "cheap" Teslas online. After all, Musk once said that the purpose of Tesla launching cheaper cars is to attract customers who can't afford a Tesla.

But Musk didn't mention that after Tesla becomes cheaper, it will also offer decent configurations. If you click on the configuration list of the standard versions on Tesla's official website, you'll find that Tesla has removed almost all the configurations it can.

The most obvious example is the popular Model Y. In the configuration list, the standard - version interior only has a highly recognizable touchscreen, is equipped with low - end fabric - spliced seats, comes with basic autonomous driving and intelligent connectivity functions, and has a total range of 321 miles (approximately 516 kilometers). Configurations such as rear - seat heating, rear - seat entertainment screens, audio systems, and wheel sizes have all been removed or downgraded, making it as plain as a ride - hailing car.

The configuration of the standard - version Tesla Model Y is very plain. (Photo/Tesla US official website)

It should be noted that the sales of Model Y are particularly impressive globally. Data released by Tesla shows that in 2024, it sold 1.79 million Model Ys globally, and 460,000 in the Chinese market, making it an undisputed ace model. At this time, whether Tesla's shabby standard version can attract more prospective middle - class people who aspire to a "Tesla - style" life is questionable.

However, compared with the shabby configuration, what may be even more off - putting is the confusing pricing. Compared with the current long - range models (which Tesla now calls the "premium versions"), the prices of the standard - version Model Y and Model 3 are $5,000 and $5,500 cheaper respectively, with a price cut of only 10%.

In the US market where you can buy a used car for a few thousand dollars, such pricing makes the cost - effectiveness of the "base - model" Tesla not very high. And if you pay extra for optional configurations on the basis of the standard version, the total price will be even higher than buying the "premium version" directly, which is like being a fool. Even if you only buy the bare - bones car, considering the changes in the US tax credit policy, the actual expenditure may be higher than buying the current model before September 30th.

Some Chinese netizens observing from afar have speculated that based on the current starting price of the domestically produced Model Y at RMB 263,500, the price of the standard - version new cars in China "may be less than RMB 200,000".

However, on Chinese social media, most people are not interested in the standard - version Model Y and have joked that the standard - version Tesla is "terrible". In the Chinese market, the standard - version Model Y may not be able to replicate the scenes of Tesla selling out frequently and being in short supply a few years ago.

In the past few years, most of the market dynamics related to Tesla have revolved around "selling out", including the Model Y L in the picture. (Photo/Visual China)

The fact is that in the years when Tesla was selling well, domestic automakers were competing with each other in terms of size, range, acceleration, charging speed, brand advantage, etc. Now, in the price range where Tesla is firmly positioned, almost all competitors are doing their best to meet consumers' needs and have already attracted some potential Tesla fans.

The standard - version Teslas with shabby configurations and "watered - down" performance stand out like a sore thumb among competitors and can't easily persuade young consumers to open their wallets. The covetous competitors have already prepared hundreds of ways to encircle Tesla, the "old catfish".

02

Will the Cheaper and Cheaper Teslas Still Be Sought After Worldwide?

The reason why Tesla has come up with such a big move is obvious.

In the first half of this year, Tesla only delivered 720,800 electric vehicles globally, and its sales in the three major markets of China, the US, and Europe all declined significantly. This "regression" trend is particularly obvious among new - energy vehicle manufacturers.

Although the Chinese market remains the cornerstone of Tesla's development, and the Model Y launched in 2019 still ranks high in the domestic SUV sales list, compared with its image when it first entered the Chinese market, Tesla now seems more conservative. Coupled with the rise of domestic new - energy vehicle manufacturers, Tesla no longer feels fresh to people.

Tesla's vehicle lineup has been monotonous for a long time, and its mainstream models, including the Model Y, rarely undergo major upgrades. (Photo/Visual China)

The two mainstream models, the Model 3 and Model Y, have only had minor tweaks since their launch, which is a bit tiring for people. In contrast, Chinese competitors have fully demonstrated the concept of "annual upgrades", and the rapid iteration of models is dizzying.

From the perspective of market penetration, launching cheap models is, of course, part of Tesla's "three - step" strategy. However, Musk has packaged Tesla as a high - end automotive brand. The success of the Model 3 and Model Y is related to Tesla's brand aura. Rashly launching "base - model" cars will undoubtedly risk damaging the brand's image.

However, Tesla is not a charity, and the wealthy Musk also has to meet Tesla's profit - growth targets. Facing the pressure of market shrinkage and cost increase, the most effective way for Tesla to continue making money is to expand its user base and sell more cars.

Lowering its profile to expand into the mass market will inevitably attract criticism from die - hard fans. Moreover, as a means of transportation, cars are not just about being high - end and fancy.

Individual needs and usage scenarios vary greatly, which also corresponds to different car choices. In such a large and segmented automotive market, no matter how popular domestic cars priced around RMB 200,000 are, they won't shake the group of consumers who want to buy a "Tesla - branded Corolla". As long as the price is right and Tesla's brand aura still exists, there will always be car owners willing to pay for the standard - version Teslas, no matter how shabby their configurations are.

To continue making money, lowering its profile is one of Tesla's means, but it's definitely not a one - size - fits - all solution. (Photo/Unsplash)

To be honest, people's expectations for Tesla are essentially similar to their pursuit and attention to Apple phones. However, whether it's a phone or a car, people are not willing to accept meaningless incremental innovation.

For Apple, no matter how it rearranges the three cameras, it's still just an iPhone. For Tesla, even if it's a new product in the product lineup, the cheap SUV in front of people is still just a Model Y.

From this perspective, if the iPhone, which has changed the mobile world, and Tesla, which has changed the electric - vehicle industry, continue to rely on such minor upgrades, it's only a matter of time before they are completely abandoned by consumers.

Ultimately, people are creatures that love new things and hate the old. If Tesla wants to continue to be the "catfish" that stirs up the transportation world, it still needs more radical and disruptive innovation.

References:

The Cheapest Tesla in History? I Can't Figure Out What Musk Is Up To. Bad Review X.PIN. 2025 - 10 - 10

Is Tesla's Cheap Version Stupid? Half - Buddha Immortal. 2025 - 10 - 12

The RMB 260,000 "Poor - Man's" Tesla Is Just a Bare - Bones House. Automotive Business Review. 2025 - 10 - 9

Tesla Has Done Its Best in Lowering Car Prices. 36Kr Pro. 2025 - 10 - 12

The Revelation of the Base - Model Model Y. Auto Commune. 2025 - 10 - 13

Musk Is a Bit Like Zong Qinghou. Alphabet. 2025 - 10 - 13

Tesla's Sales Have Collapsed. Will You Buy a New Car if the Price Drops Below RMB 200,000? Sanlian Life Weekly. 2025 - 8 - 8

The Arrogant Musk Is Holding Tesla Back. New Weekly. 2025 - 4 - 13

This article is from the WeChat official account "Jingzhe Youth", author: Forrest, editor: Anfield, published by 36Kr with permission.