Tesla is recalling nearly 13,000 vehicles that could lose drive power.
The issue is being blamed on bad contactors with InTiCa solenoids.
The recall impacts the 2025 Model 3 and 2026 Model Y EVs.
The elimination of the clean vehicle tax credit isn’t Tesla’s only problem as the automaker is recalling 12,963 EVs. The National Highway Traffic Safety Administration says they may be equipped with a battery pack contactor that can fail, causing a loss of drive power.
The issue impacts thousands of vehicles including the 2025 Model 3 and 2026 Model Y. However, only 1% of them are believed to have the defect.
According to the safety recall report, the vehicles have a battery pack contactor with an InTiCa solenoid. The latter can “suddenly open” due to a poor coil termination connection, which can lead to a loss of propulsion.
This increases the risk of a collision and drivers won’t receive any warning prior to losing drive power.
Tesla launched an investigation in August, following multiple reports about vehicles that wouldn’t shift into drive from park. These were found to have a high coil resistance on the pack contactor, which caused Tesla to replace the component.
The company examined the contactors and eventually blamed them for causing the issue. While details are limited, Tesla is aware of 26 field reports and 36 warranty claims related to the issue. Thankfully, no accidents or injuries were reported.
To address the problem, customers will need to take their vehicle to a Tesla service center where technicians will replace the contactor with one that doesn’t include an InTiCa solenoid. Letters are scheduled to go out on December 9 and repairs will be performed free of charge.
Tesla’s latest update replaces its vehicle display with a Tron Ares animation.
The update has frustrated some owners who view it as in-car advertising.
Elon Musk once criticized Disney but now seems open to collaboration.
Tesla helped pioneer over-the-air software updates, introducing new features without owners ever having to visit a dealership or service center. It was a move that set the brand apart, positioning its cars as tech products that could evolve long after leaving the factory floor.
Of course, there’s always a “but” with progress, and Tesla’s latest update is no exception.
And this time, Tesla’s latest software update has landed with a thud among owners, as it’s essentially an advertisement for the upcoming film Tron: Ares. Welcome to 2025, where your car can double as a mobile billboard.
The update transforms the on-board visualizations found on the central display of the Model 3, Model Y, and Cybertruck. Normally, one of Tesla’s vehicles is displayed here, but after installing the update, that image is replaced with an Tron bike, just like the ones featured in the film.
Owners can access the new animations by heading into the App Launcher, opening Toybox, and enabling it. Admittedly, the Tron bike does look quite cool, particularly since it leaves a trail of red light behind it.
However, it somewhat reeks of desperation for the company to add a feature like this, and has raised questions whether Disney is compensating Tesla for featuring its latest blockbuster so prominently inside customer vehicles.
Tesla boss Elon Musk has had a strained relationship with Disney over the past few years. In late 2023, he decried Disney’s decision to stop advertising on X after he supported an antisemitic post. He also called for Disney chief executive Bob Iger to be fired, and soon after, had Tesla remove the Disney+ app from its infotainment system.
Evidently, Tesla’s relationship with Disney has improved over the past couple of years, or else this wouldn’t be happening.
Had someone asked Musk in late 2023 whether Tesla cars would one day promote a Disney movie, he likely would have laughed off the idea. Yet here we are, two years later, watching the worlds of Silicon Valley and Hollywood collide once again, this time on your dashboard.
Analysts say carmakers are fighting just to maintain basic EV sales levels.
Tesla hopes to maintain EV demand with the entry-level Model 3 and Y.
Acura and Stellantis confirm plans to axe two key electric vehicle programs.
Electric vehicle shoppers are waking up to a new reality. With the federal EV tax credit now gone, many models have effectively become $7,500 more expensive overnight, whether bought outright or through the once-reliable lease loophole.
To soften the blow, several manufacturers are getting inventive, introducing aggressive discounts, cheaper trims, and in some cases, cutting slow-selling models altogether.
The end of the tax credit on September 30 led to a significant surge in EV sales across the United States; however, sales are expected to decline through the final quarter of the year. In a bid to try and prop up demand, Hyundai is offering a cash incentive worth up to $11,000 on the 2025 Ioniq 5.
Automakers Get Creative
Both General Motors and Ford have also been looking for ways to encourage shoppers to pick up the keys to one of their models.
For example, GM had been working on a plan for its lending arm to initiate the purchase of EVs at dealership lots and then apply for the $7,500 federal credit, rolling this money into lease terms for customers. However, it recently scrapped these plans, reports Reuters.
Nevertheless, it shows how creative some firms are getting to try and ensure EV sales don’t fall off a cliff. This week, Tesla also introduced lower-priced versions of the Model 3 and Model Y.
While both of these models were in the works before the Trump administration confirmed that the credit would be axed, they may help to convince some shoppers to buy an EV who would have otherwise been priced out of the market.
According to Ivan Drury, director of insights at Edmunds, automakers are taking varied approaches to a common problem.
“The overarching message of tax credits going away for EVs has had a very different set of approaches from each automaker,” he told Business Insider. “Which approach will be most successful? Debatable. Nobody’s looking to increase. That’s cuckoo talk at this point. You just want to maintain that basic level of sustainable sales, and this is the different methodologies that each of them have taken.”
Some brands have decided that cutting losses may be the most practical move. Both Stellantis and Acura have opted to discontinue certain EV models altogether. Acura recently confirmed it will pull the plug on its all-electric ZDX SUV, while Stellantis has shelved plans for the RAM 1500 REV.
It’s yet another reminder that even in an age of electrification, not every experiment makes it through the market’s growing pains.
Tesla introduces new “Standard” trim levels for the Model 3 and Model Y.
Model 3 Standard starts at $36,990, while Model Y Standard at $39,990.
Autosteer, AM/FM radio are gone, while shock absorbers are downgraded.
For all of Elon Musk’s grand promises over the past couple of years about game-changing budget Teslas, the much-touted affordable models have arrived with more of a polite cough than a thunderclap.
As we expected after several leaks these past few weeks, the newcomer is essentially a heavily cost-cut version of the Model Y. Still, glance upward and you might realize that, in Tesla’s peculiar logic, less sometimes really does mean more. We’ll circle back to that soon.
Even so, Tesla slipped in a small surprise with the introduction of a lower-priced Model 3, both now bundled under the newly introduced “Standard” trim name.
Alongside these launches, Tesla has reshuffled its trim lineup. Entry-level versions now carry the Standard name, while the mid-range Long Range models have been renamed Premium. The Performance flagships of both cars remain in place at the top of the hierarchy.
Lower Prices, Leaner Package
The headline figures set the tone: the Model 3 Standard starts at $36,990, which is $5,500 less than the previous base Long Range RWD. The Model Y Standard begins at $39,990, a $5,000 reduction compared with its RWD Premium equivalent. These figures exclude delivery fees, of course.
Both models a single-motor, rear-wheel-drive setup and a smaller 69 kWh battery pack with one fewer module than usual.
Model Y Standard
Starting with the Model Y Standard, the range sits at an EPA-estimated 321 miles, a dip from the 357 miles offered by the RWD Premium. Acceleration is a lot slower too, hitting 60 mph (97 km/h) in 6.8 seconds with a rollout, versus the Premium’s 5.4-second run. Top speed remains unchanged at 125 mph.
Specs tell only half the story, though. Tesla has stripped away so much that the car now feels like something you’d leave in the economy lot after a long weekend in Vegas, drop the keys, and never think about again.
The middle section of the lightbar has vanished, which isn’t exactly a bad thing. Some might even call it an improvement, if only by accident. The front bumper has been simplified too, with revised air inlets and lighting elements now integrated into the headlamps. Around the back, the Juniper’s trademark taillights drop their connecting center strip.
Elsewhere, new smaller 18-inch wheels come as standard, with a 19-inch option available. The simplified wheel covers might not win any style awards, but the extra tire sidewall should improve ride comfort. Color choices are limited to three: Stealth Grey as standard, plus Pearl White for $1,000 and Diamond Black for $1,500.
No FM/AM Radio And Downgraded Suspension
The biggest changes are found inside. The vegan leather seats have been swapped for textile inserts, and the center console now features a large open compartment reminiscent of the Cybertruck’s utilitarian layout.
Front seat ventilation and rear seat heating have been dropped, and rear passengers lose their 8-inch fun screen in favor of manual vents. The driver also gets a manually adjustable steering wheel instead of an electric one.
Digging a little deeper into the spec sheet uncovers several more omissions. Tesla has downgraded the audio system, fitting this version with seven speakers instead of the 15-speaker setup and subwoofer found in higher trims. The FM / AM radio is gone too, along with the HEPA filter and ‘Bioweapon Defense Mode’.
Even the side mirrors are now manually folded and no longer feature auto-dimming, while Autosteer has been removed. The second-row seats, power-operated in the other trims, are now manually folded. Ambient LED lighting and the double-pane windows have also been dropped.
Interestingly, there seems to be a suspension change as well. The Standard version now uses passive shock absorbers rather than the frequency-dependent units fitted to other models.
Once again, it raises the question of what other features might have quietly slipped away.
Now You See It, Now You Don’t
Look upward and you’ll spot the most obvious alteration. The Model Y Standard trades its see-through roof for a regular headliner with sound-absorbing material above it, something many Model Y owners have long wanted, albeit in the form of a retractable shade, not a full-on cover-up.
But appearances can be deceiving. The glass roof hasn’t gone anywhere, it’s simply hiding beneath the new headliner. Apparently, Tesla figured it was more cost-effective to leave the glass in place rather than invest the time and money needed to engineer a proper metal roof, which makes sense up to a point.
What’s less clear, unless there’s something we’re missing such as a switch to a cheaper type of glass, is why they went through the extra effort and expense of covering it at all. If the goal wasn’t cost-saving, it would have made more sense to leave it visible, as with the Model 3 Standard.
The only other plausible explanation might be differentiation from the other versions, or perhaps an attempt to offset the loss of the double-pane windows and maintain cabin quietness.
Everything else you love and loathe about the Model Y experience remains as is, from the 15.4-inch touchscreen that serves as both the instrument cluster and infotainment system to the steering stalks.
Model 3 Standard
Moving to the Model 3 Standard, the EPA estimates a 321-mile range, down from the RWD Premium’s 363 miles. The sedan sprints to 60 mph in 5.8 seconds with rollout and matches the same 125 mph top speed.
Visually, the exterior updates are more restrained than on the Model Y. There wasn’t much to take away to begin with, so the main differences come from the smaller 18-inch wheels that should offer a slightly comfier ride, with 19-inch options once again available. The same trio of paint choices carries over: standard grey, optional white, and black.
Inside, the cabin sticks to the same cost-cutting playbook as the Model Y Standard, though with one notable exception: the glass roof remains. Textile seats take the place of vegan leather, the steering wheel adjusts manually, the rear touchscreen has been deleted, and the audio system has been simplified.
All the other omissions noted on the Model Y Standard, including the change in shock absorbers, carry over here too.
Tesla offers two different manual rear door release designs in the Model Y.
Apparently, some of these vehicles lack a manual rear door release entirely.
Owners are adding ropes to the rear door cables for quick emergency use.
Concerns over Tesla’s electronic door handles have intensified after several recent fatalities were linked to situations where occupants couldn’t escape following a crash or fire. The incidents have not only landed Tesla in hot water with safety authorities, but have also sparked broader conversations within the auto industry about safety design and emergency accessibility.
Many owners are now asking themselves what they can do to ensure their vehicles are ready should the unthinkable happen.
Late last week, a Reddit user sparked discussion by asking how to rescue children from the rear of a Model Y in the event of a collision and fire.
“Me and my wife have a Juniper and with a baby on the way it got me thinking,” wrote a user on Reddit.
“You get into a crash. High voltage battery catches fire, inside is filling up with smoke, 12v battery dies. You use the manual release on the driver’s door to open the door and now you can get out. But how do you get your child/baby out of the backseat/childseat on the passenger side? 3 other doors are locked. No chance you’re reaching the manual release on that door from the driver’s seat,” they added.
To Tesla’s credit, the Model Y includes an easily accessible manual release for the front doors, located just ahead of the window controls. This means front-seat occupants can exit quickly, even if the electronic system fails. The same can’t be said for those in the back seats.
Hidden Escape Points
For whatever reason, the manual release at the rear of the 2020-2024 Model Y is much more difficult to access. To pull it, occupants need to remove the rubber mat at the bottom of the door pocket, press on a red tab to remove a plastic access door, and then pull the mechanical release cable forward. For a child, particularly in a panicked situation, access will be challenging.
Tesla redesigned the rear door’s manual release for the Model Y Juniper, although a plastic release cover still needs to be removed before accessing the release cable.
DIY Safety Mods
Some Model Y owners, inspired by the Reddit thread, have taken matters into their own hands. A few have attached small straps to the rear release cable so it’s easy to spot and pull, while others suggest connecting a rope that extends toward the front of the cabin, giving the driver a way to open the rear doors quickly in an emergency.
That said, these homemade solutions don’t help everyone. Tesla’s owner’s manual for the 2020-2024 Model Y reveals that “not all Model Y vehicles are equipped with a manual release for the rear doors.”
So, if the rear doors can’t be opened from the inside, nor from the outside after a crash and/or fire, that means the only way to free passengers in the rear will be to drag them out from the front seats, or to bust out the rear windows.
Tesla sales rebounded in Q3 as Americans rushed before tax credits expired.
The automaker delivered 497,099 vehicles, up from 462,890 units last year.
Deliveries soared 29.4% from Q2 on strong demand for Model 3 and Model Y.
Tesla’s been having a terrible year, but there’s a bit of good news as third quarter deliveries climbed 7.4% from last year. That’s a sizable increase and it’s believed the recently expired clean vehicle tax credit played a significant role in driving consumers to showrooms.
Jumping right into the numbers, Tesla delivered 481,166 Model 3 and Model Y vehicles in the third quarter. That’s up from 439,975 last year, for an increase of 9.4%.
However, it wasn’t all roses as the Model S, Model X, and Cybertruck continue to underperform. Q3 deliveries dropped from 22,915 units last year to 15,933 vehicles this time around.
In total, Tesla produced 447,450 vehicles and delivered 497,099. One year ago, the company made 469,796 EVs and only delivered 462,890.
2025 Q3 Tesla Production And Deliveries
Production
Deliveries
Model 3/Y
435,826
481,166
Other Models
11,624
15,933
Total
447,450
497,099
SWIPE
Digging deeper, Tesla sales have rebounded significantly since Elon Musk’s disastrous foray into politics turned off a number of consumers. Compared to last quarter, deliveries soared an impressive 29.4%. The biggest boost came from the Model 3 and Y, which were up by 107,438 units. Deliveries of “other models” also grew by 53.3% as the company handed over 15,933 of them.
Of course, the sales bonanza is likely over now that the tax credit is dead. This means customers will need to shell out at least $42,490 for a Model 3 or $44,990 for the Model Y. Those prices will likely limit their appeal, although the company is working to address that with a cheaper Model Y.
They’re not the only ones working on more affordable EVs as Hyundai recently slashed prices for the 2026 Ioniq 5. The crossover starts at $35,000, which is $7,600 less than last year’s model. Other trims have steeper reductions and they average $9,155.
Tesla’s Model Y Standard is said to drop luxury touches for only $5K off the price.
Cut features reportedly include glass roof, second-row screen, and HEPA air filter.
Redesigned fascia loses full-width LED light bar and gets a simple looking bumper.
Update II: Tesla has posted a teaser on its X channel hinting at a new reveal later this week, on October 7. The company shared two brief clips, one that appears to show a spinning wheel cover, and another featuring the front end of a new model with distinct, separated headlamps. Both the timing and, more importantly, the shape of those headlights strongly suggest it’s the budget version of the Model Y seen here.
Some have speculated that the teaser could point to the long-delayed Roadster, though that appears unlikely. The Roadster prototypes previously shown by Tesla featured different alloy wheels without covers, along with a lighting signature that doesn’t match what’s visible in this teaser.
Update I: Well, that didn’t take long. Just hours after the leaked option codes surfaced, a prototype of what looks to be the most stripped-down version of the Model Y was spotted undisguised by X user Ryan Marble near Tesla’s Gigafactory in Texas.
The new photos confirm the removal of the front light bar, along with a more basic front bumper that no longer features the aero cut-outs. No doubt some diehard fans will hail it as “cleaner,” though others may just call it cheaper looking. At the back, the center light bar is gone as well, as is the spaced-out “T E S L A” badging, giving the rear fascia a plainer, less futuristic feel.
It’s still unclear from these shots whether the rumored change to the roof has gone ahead, swapping the panoramic glass panel for a solid black section. The wheels, meanwhile, seem to have shrunk to 18 inches rather than the 19-inch sets fitted to the current RWD and AWD variants. (by John Halas)
What could be our first look at Tesla’s long-rumored entry-level Model Y has surfaced online, sparking plenty of debate about whether it’s the real deal. If it is, then the newcomer appears to take a seriously pared-back approach compared to the Model Y we know today, stripped of many features that define its higher-priced counterparts.
The open question is whether such a cut-down version would help Tesla boost sales across the US and other key markets, or if it risks being seen as too compromised to win over buyers. Of course, much of the answer will hinge on pricing, especially compared with the current base Model Y Long Range Rear-Wheel Drive, which starts at $44,490 in the States now that the $7,500 tax credit has disappeared.
Simpler Looks
The image comes from TheTeslaNewswire on X, which claims the shot briefly appeared on Tesla’s website before disappearing. In the photo, the the new base Model Y ditches the full-width LED light bar fitted to current crossover and instead wears a pair of narrow headlights that resemble those on the refreshed Model 3. The front bumper has been pared back too, losing its usual air curtains and settling for a plainer black grille along the lower edge.
This entry version, apparently set to carry the Model Y Standard badge, rides on 18-inch wheels with black plastic aero covers. The effect is about as minimal as Tesla has ever gone on its mainstream models.
A No-Frills Cabin
Several changes are also being reported, although official images have yet to appear. The same account that dug through the website’s source code suggests the panoramic glass roof, standard on all current Tesla passenger models, will be dropped in favor of a solid roof, with textile trim pieces added in its place.
A manually adjustable steering wheel will also be part of the package. In the back, the second-row touchscreen has been dropped, replaced with manual air vents. Tesla has removed the HEPA filter as well, a change that lines up with reports from a well-known hacker who mentioned similar cuts last month.
Extract 1:
Model Y Standard","Bring Everyone and Everything","Unparalleled Efficiency","Have More Fun","Virtually Low Maintenance","Built for Safety"],"card_description":[" ","For anybody and every drive.","Load up your friends and family with seating up to five and bring all…
An extract from Tesla’s website describing the new model was also shared on X by the same account. it says Tesla describes the model as providing “unparalleled efficiency” and having “virtually low maintenance,” which we suspect should say ‘virtually no maintenance.’ Tesla also notes that it doesn’t require “oil changes, tunes ups or smoke checks,” and that all owners will need to do is “refill the washer fluid and rotate your tires.”
When Cheap Isn’t That Cheap
Then there’s the all-important price. Apparently, the Model Y Standard will start at a claimed $39,990 in the United States. That’s only $5,000 less than the current base Model Y Long Range Rear-Wheel Drive, which doesn’t sound like a good deal, particularly given all the features the Standard version is lacking. Even more so if you consider that just days ago, before the federal EV tax credit was scrapped, buyers could pick up the Long Range RWD for as little as $37,490.
🔥🔥 More affordable Tesla Model Y Standard leaked on the website!
✅ Called Model Y Standard ✅ $39,990 starting price ✅ Redesigned front fascia ✅ Single-part headlights ✅ Front bumper camera ✅ No front light bar ✅ No glass roof (“closed glass roof”) ✅ New 18” Aperture… pic.twitter.com/eGm4QnMxJm
Model Y Performance packs 460bhp, 0-62 mph in 3.5s, and adaptive suspension.
Top Gear calls it stable and refined, but says Long Range AWD offers better value.
Priced £10,000 higher in the UK, yet real-world benefits remain fairly marginal.
It’s official. The new Tesla Model Y Performance is rolling out across most global markets, including the US where it comes in at $57,490, as well as Europe. Buyers get more power, more speed, updated styling, and subtle chassis tweaks.
In Britain, the starting figure is £61,925 (around $75,500), which makes it roughly £10,000 more than the Long Range AWD. In the US, the gap is a little narrower at $8,500. Even so, Top Gear argues that the premium is enough for buyers to think twice before ticking the Performance box.
Tom Ford from the famous British auto journal drove the updated Performance variant and found that while it delivers excellent performance, the upgrades don’t make it a must-have. The SUV is unquestionably quicker and sharper, but Ford noted that the standard Long Range already accelerates in under five seconds, offers slightly more range, and costs £10,000 less in the UK.
What extras buy you
The Performance gets a handful of changes to justify that price hike, including staggered Arachnid 2.0 21-inch wheels, red-painted calipers, revised bumpers, and a carbon spoiler. Tesla claims it’s cut drag by 10 percent and lift by 64 percent compared to the original Model Y Performance. It also gets a larger 16-inch infotainment system, carbon interior trim, and sport seats with extra bolstering.
Under the skin, it has a lot going for it on paper. The suspension features reinforced parts, stiffer bushings, and adaptive bits as well. It’s good enough that Ford says it’s “class-leading.” Despite that, the sum of its parts doesn’t end up being good enough for an all-out recommendation. “It’s not night and day better than the standard vehicle,” he says.
Everyday reality check
Drilling down further, he gets into the nitty-gritty of the situation for real, everyday buyers. This is, after all, a relatively (if not slightly pricey) mainstream crossover. It’s not a Model X or another flagship of sorts.
As he put it, “A Y is a family SUV, so more go isn’t needed – the fast stuff makes more sense in, say, a Model 3. And then there’s the fact that the standard all-wheel drive long-range car is still sub-five to 62mph, has a smidge more range, doesn’t look much different, and costs a straight £10k less.”
At this point, it sounds like the Model Y Performance is indeed an upgrade over the Long Range in terms of driving engagement. At the same time, it’s not a leap-and-bound sort of improvement.
Could Tesla have done more?
That’s a bit curious considering a few small things, like perhaps simulated gear shifts and some fun faux exhaust or rev noises might have amped up the fun like Hyundai does with the (a lot) more expensive Ioniq 5 N. We’ll have to wait to test one stateside to make our own determination. Until then, what do you think of the latest high-spec Model Y?
Tesla’s Model Y Performance is now live on the configurator, priced at $57,490.
The all-wheel drive hero model has a 308-mile range and a 155 mph top speed.
Company has also increased lease prices following govt’s axing of EV tax credits.
Tesla’s facelift of the Model Y SUV hasn’t proved enough to halt a decline in sales, but from this week, there’s a fresh reason to give the automaker’s showrooms some of your time. The range-topping Model Y Performance is officially on sale in the US, and at just $57,490, it looks like a seriously good value for what it puts on the table.
If you’d rather lease the flagship Model Y Performance, Tesla’s current terms start with a $4,300 down payment and $635 per month for 36 months with a 10,000-mile annual limit. Opting for a shorter 24-month lease bumps the payment to $745 per month. The down payment is flexible, however, and can drop as low as $1,427 depending on how you structure the deal.
For that money, you get a bi-motor, all-wheel drive, five-seat SUV that can explode from zero to 60 mph (97 kmh) in just 3.3 seconds, tops out at 155 mph (250 kmh), and has a 308-mile (496 km) range. That compares with 4.6 seconds, 125 mph (201 kmh), and 327 miles (526 km) for the next Model Y down, the $48,990 Long Range All-Wheel Drive.
If you don’t care about the more explosive performance and a selection of other goodies like the body-hugging front sport seats and the improved suspension with adaptive damping that promises to offer a better handling and ride, you’re better off pocketing the $8,500 difference and opting for the Long Range AWD instead.
Options? What Options
Tesla doesn’t offer many options for the Performance, giving buyers the choice of six colors at no extra cost and no alternative wheel selections other than the standard 21-inch Arachnid 2.0 rims. The only really pricey available add-on is the over-promising Full Self-Driving package for $8,000, though buyers can inflate their bill with stuff like a roof rack and air mattress.
We already knew some of the Performance tech details, plus how much it cost in Europe, but until now, US prices remained an unknown quantity. At $57.5k, the Performance massively undercuts Hyundai’s Ioniq 5N, which costs $66,200, but not Ford’s Mustang Mach-E in GT trim. One of those is only $54,495, but it is also half a second slower to 60 mph and has a poor 280-mile range. Then again, the 5N, which does match the Y against the clock, is rated at a pathetic 221 miles (356 km).
Though various states, such as Colorado, offer EV incentives that can bring the price of a Performance lower, the federal EV tax credit program finished at the end of September, having been axed by President Trump. That means no opportunity for a chunky $7,500 discount. And it also means leasing a Tesla just got more expensive.
Lease Prices Jump
Although Tesla so far hasn’t changed the MSRPs of its other cars, it did raise leasing prices when the tax credit availability expired, Reuters reports. Lease deals for the Model Y RWD and AWD jumped from a range of $479-$529 to $529-$599 a month. Meanwhile, Model 3 lease prices, including the Performance, jumped from a range of $349 to $699 to $429 to $759 per month.
Xiaomi disassembled three Tesla Model Ys to study every single part.
Its CEO called the Model Y “very, very outstanding” during a live event.
YU7 orders passed 240,000 within 18 hours of launch, creating long waits.
Xiaomi’s rise to become one of China’s most popular car brands has been meteoric, due in large part to it already being a massive and hugely popular consumer electronics brand. Their SU7 sedan and YU7 SUV have already been proven to be very competitive, albeit with a few teething issues. Even so, Xiaomi’s leadership has been open about one thing in particular: the importance of learning directly from rivals like Tesla.
While recently speaking at an event in China, Xiaomi chief executive Lei Jun shared that earlier this year, the company purchased three Tesla Model Ys and proceeded to disassemble them and study every single component. It’s safe to assume Xiaomi likely carried out a similar exercise with the Model 3 when developing its first car, the SU7.
Borrowing From a Playbook
To be fair, this is hardly a unique approach to Xiaomi. Across the auto industry and beyond, tearing down competitors’ products is a long-standing method of benchmarking. Electronics firms routinely dissect smartphones and processors, while carmakers buy rivals’ vehicles, dismantle them to the last nut and bolt, and scrutinize everything from materials and software to production techniques.
Even Ferrari has been drawn into similar speculation after a Xiaomi SU7 was recently spotted leaving the marque’s Maranello headquarters, prompting suggestions it could have been benchmarked against the brand’s first dedicated electric model.
Learning by Taking Apart
“We bought 3 Model Ys at the start of this year, disassembling the parts one by one, and studied every component, one at a time,” Lei told the crowd, according to Business Insider.
Throughout the presentation at the Beijing National Convention Center, Jun was complimentary of the Tesla Model Y, and showed a side-by-side comparison of the Tesla and the new YU7. Unlike many other industry CEOs, Xiaomi’s boss isn’t claiming that its latest model will wipe the floor with Elon Musk’s best-seller.
During the event, Lei told attendees, “if you don’t choose YU7, you can consider Model Y. I’m not criticizing the Model Y,” he added. “The Model Y is a very, very outstanding car.”
Too Much Demand, Not Enough Supply
Just last month, Lei took to social media to encourage those in the market for a new EV to look beyond Xiaomi and the YU7 as the technology giant wrestles with a massive backlog of orders. Indeed, within 18 hours of the YU7’s launch, Xiaomi had received roughly 240,000 orders, and some shoppers have been told they’ll need to wait over a year to take delivery.
Faced with this backlog, Lei took to social media to encourage shoppers to consider alternatives rather than sit idle in the queue. Among his suggestions were the Xpeng G7, Li Auto i8, and, once again, Tesla’s Model Y.
Four separate accidents have now been reported involving Tesla’s robotaxis.
Much of the critical information has been redacted from the company’s reports.
In one accident, a Model Y hit a stationary object while driving at around 8 mph.
On July 1, Tesla launched its long-awaited robotaxi service in Austin, Texas, joining rival firms such as Waymo and Zoox. It was declared a triumph for Elon Musk by many, serving as the first step in a robotaxi rollout that’s expected to cover large parts of the United States. However, new information has revealed that the FSD-equipped Model Ys roaming the streets of Austin have already been involved in several accidents.
Recent data uncovered by Forbes lists no fewer than three accidents dated July 1. Although it was first assumed they all took place that day, it now appears the incidents happened at various points throughout the same month. Many of the specifics have been redacted by Tesla on the grounds of protecting proprietary information, though some basic details have been disclosed.
Early Crashes Logged
The first accident is listed as having occurred at 3:45 a.m. on an unspecified date in July. Tesla’s description says the Model Y “was stopped (while going straight) and damaged on the rear-right by an SUV front right. Police were called.” The second crash is listed at 12:20 p.m. and says “Tesla hit a stationary object with front-right at 8mph. Minor injuries, no hospital. Police called. Tesla was towed away.”
In the third accident, which occurred at 3:15 p.m., “Tesla rear-right contacted front-right of an SUV while Tesla was making right turn, going 2 mph. No police.”
Robotaxi Hurdles
At least one other accident is believed to have occurred in July, but was not reported. Forbes notes that video footage showed one of the robotaxis tires hit the front side of a parked car in a parking lot. It’s unclear why this crash wasn’t listed, but it may have been because it occurred on private property or because the damage was limited to tire marks.
It’s unclear how many miles the cars being used in Tesla’s Austin robotaxi service have racked up, but at the end of July, Elon Musk said they had logged roughly 7,000 miles of testing. To put that into perspective, Waymo’s autonomous vehicles have covered more than 96 million miles since they were introduced several years ago.
Safety figures underline the gap as well. ArsTechnica reports that in Waymo’s first 50 million miles, the company recorded 60 serious accidents that either deployed airbags or caused injuries. Tesla’s record in Austin, while still in its infancy, shows just how steep the learning curve may prove to be.
Tesla’s new entry-level Model Y drops glass roof, cabin lighting, and extras.
Simplified design brings fiberglass headliner, basic seats, and 18-inch wheels.
Pricing near or under $35,000 could make it Tesla’s most affordable Model Y.
Tesla’s long-awaited budget car that is believed to be an entry-level, stripped down Model Y is edging closer to production. After several camouflaged prototypes were spotted in testing, a well-known Tesla software sleuth has uncovered key information buried in the car’s onboard code. The findings paint a better picture of just how far Tesla is going in its effort to bring the price down.
According to GreenTheOnly, the Tesla hacker known for uncovering hidden features in the company’s apps and software, the most obvious change made to the new affordable Model Y will be the absence of a glass panoramic roof in favor of a cheaper steel panel. The new roof panel will get a simplified fiberglass headliner, and the ambient lighting system that premiered on the updated Model Y will be abandoned.
Stripped To Essentials
The code also suggest that Tesla is scaling back equipment in other areas. Power folding mirrors are gone, as are puddle lamps, a second-row touchscreen, and even the tire pressure monitoring system (TPMS). That last omission seems unlikely to make it to production, though, since TPMS has been federally required on all new cars in the United States since 2007. To further trim costs, Tesla appears to be using more affordable suspension components, simplified seat controls, and a basic set of 18-inch wheels.
The reversing camera heater will disappear, as will the central ‘airwave’ system, likely meaning the car will ditch Tesla’s trick air vent design. Two pared-down audio system options will also be offered, marking a significant departure from the current model’s cabin tech.
It’s worth stressing that these details come from code analysis and are not yet officially confirmed.
Geek Piggy/Garage 42 / Weibo
On the outside, the budget Model Y is expected to wear a different front end, making it visually distinct from the standard version.
When Will It Arrive?
Tesla has not yet confirmed when this model will hit the market. Some speculate that it could launch in the fourth quarter, perhaps first in China, before then being launched in the United States and other markets around the world.
The fate of this stripped-down Model Y will rest heavily on one thing: the price tag. In the States, the current Model Y starts at $44,990, excluding the $7,500 federal EV tax credit that will be ditched next week. A price tag of around $35,000, or even less, might be what’s needed if Tesla wants the stripped-down version to prove popular.
simplified fiberglass headliner simplified cabin lighting (footwell only) simplified seat controls (single axis) no power mirror folding no puddle lamps no glass roof no second row display no tpms simplified 18" wheels
A teenage learner in Canada failed her driving test for not using the brakes.
She was slapped down for using the brake-regen function to reduce speed.
The driver was borrowing the car and didn’t know how to turn systems off.
Using an EV’s regenerative braking power to slow down can make driving in traffic easier because you don’t have to constantly jump between pedals. But judging by one teen’s experience, it can actually make passing your driving test harder.
A student in North Bay, Ontario, failed her full (G) road test after relying on the Tesla Model Y’s regen function to slow the car. Because the system reduced speed without her pressing the brake pedal, the examiner marked her down.
When Tech Meets Tradition
Eric Simard told CBC News that his daughter was driving his Tesla and didn’t know how to deactivate the brake regeneration. The Drive Test Ontario examiner allegedly told her that she couldn’t pause the test to call her dad how to switch it out, and checked a box on the test report to say the vehicle was “out of order,” though it was only performing as intended. They also penalized the learner for the Tesla chiming to indicate a stop light had turned green.
“I find it pretty frustrating because even though it’s regenerative braking and you’re not using the brake pedal, you’re clearly the one that is in full control of making the vehicle come to a stop or to slow down,” Simard said.
Inconsistent Standards
Even more frustrating, when Simard posted about his experience on Facebook he learned that some Ontario learners had been allowed to use the regenerative braking effect on their G practical test, though others had been asked by their examiners to deactivate it.
The mixed response appears to be due to Drive Test Ontario and Ontario’s Ministry of Transportation not having a clear stance on the tech.
“Applicants are expected to understand how their vehicle’s system – including lane centering, regenerative braking, adaptive cruise control and automated parking – may affect handling and performance during a road test,” Julia Caslin, a spokesperson for the MoT, told Canada‘s CBC via email. But she made no mention of drivers being required to push the brake pedal to bring a car to a stop, and nor is there any reference to regenerative braking on their websites.
Tesla developing single-button system merging manual and electronic release.
NHTSA is currently investigating Tesla door handles after reports of trapped kids.
New door handle design aims to be more intuitive for drivers and first responders.
After years of treating electric door handles as a design triumph, Tesla now finds itself redesigning them for a less glamorous reason: people, including children, keep getting stuck inside its cars. The company has admitted that a new generation of door handles is in development, prompted by repeated cases of entrapment in Tesla EVs. Adding to the urgency is an active NHTSA investigation, which has only piled on the pressure.
Franz von Holzhausen, Chief Designer at Tesla, acknowledged that his team is looking into the issue, explaining that the new door handles will be more intuitive during “a panic situation”. The proposed solution is to merge the electronic and mechanical door-release mechanisms. These are currently separate, and their locations differ depending on the model and year, making them harder to find in an emergency.
Rethinking the Release
Speaking on Bloomberg’s Hot Pursuit podcast, Holzhausen said: “The idea of combining the electronic one and the manual one together into one button, I think, makes a lot of sense. That’s something that we’re working on.”
The concern arises from situations where Tesla door handles can fail if the low-voltage battery loses power. This is not a problem exclusive to Tesla, with other automakers like Ford having issued software updates to provide clearer “low power” warnings to the driver.
According to Bloomberg, the NHTSA has logged more than 140 consumer complaints about faulty Tesla doors since 2018. Some incidents have been severe, with injuries and even fatalities linked to occupants being unable to exit their vehicles after an accident.
Nine of these cases involved parents trying to open the rear doors of a Tesla Model Y to reach their children. In four of those instances, parents resorted to smashing their own windows to get inside, as the kids were too young to operate the hidden manual release.
Pressure from China
Meanwhile, China is considering new rules through the Ministry of Industry and Information Technology that could outlaw flush door handles and mandate a mechanical backup on all cars. Holzhausen said Tesla is ready to adapt, describing the forthcoming solution as “really good.”
For now, Tesla has not said when the redesigned handles will arrive, nor whether the update could be retrofitted to cars already on the road.
Tesla may soon dethrone Nissan after leading Japan’s EV market for 15 years.
Recent price cuts led to a surge in demand for the Model 3 across the country.
The EV maker is also planning to double its showroom presence nationwide.
Throughout much of the year, Tesla sales have been on a downward spiral in many key markets, including Europe, the United States, and Australia. However, over in Japan, things are very different. In fact, throughout 2025, Tesla sales have jumped significantly, so much so that the American brand may soon surpass Nissan as the nation’s best-selling EV brand.
From January to August, approximately 6,590 new Teslas have been sold across Japan. This represents a massive 87 percent leap over the previous year, and has already topped the brand’s strongest year on record in Japan when it sold 5,900 vehicles in 2022. Tesla models proved particularly popular in August, with roughly 980 sales. That was more than double last August.
Closing in on Nissan
Year-to-date, Tesla is now only trailing Nissan by approximately 100 electric vehicle sales. Nissan has held the crown as Japan’s highest-seller of EVs for almost 15 years, reports Nikkei Asia, thanks to the Leaf.
Aggressive price cuts have contributed to Tesla’s surge in popularity. In May, it cut the price of the Model 3 by 453,000 yen (roughly $3,000), bringing its sticker price down to 3.99 million yen or $26,800. With government subsidies factored in, the actual outlay for buyers is even lower, which has helped broaden its appeal.
One advantage for Nissan is the upcoming launch of the next-generation Leaf. Sales won’t begin until later this year, which could be a double-edged sword: the new model may spark renewed interest once it arrives, but in the meantime it risks discouraging buyers from choosing the outgoing version still on sale.
New Locations
Elon Musk’s company has also been looking to grow its physical presence at locations across the country. According to Tesla Japan boss Richi Hashimoto, the company will open new dealerships in large shipping centers in a bid to further boost brand recognition. It currently has 25 locations in the country, and in 2026, this could double to roughly 50.
Currently, Tesla has a roughly 30 percent share of Japan’s EV market. Its network of Superchargers will also be expanded from the current 130 sites, ensuring that owners can easily and swiftly charge their EVs.
By the end of this year, it’s possible that Tesla may have sold as many as 10,000 EVs in Japan. Not bad for a company that’s struggling in many other markets, right?
Tesla says the new Model Y Performance needs just 3.3 seconds to hit 60 mph.
Model S Plaid and Model X Plaid both feature standard launch control systems.
Model 3 Performance may also gain launch control through a future software update.
For as powerful and thrilling as the Tesla Model 3 Performance is, it lacks perhaps one of the most obvious settings for a vehicle like it – launch control. The new Tesla Model Y Performance, unveiled late last week, is a little different.
Much like the Model 3, the new Model Y Performance is equipped with a pair of electric motors, ensuring all four wheels have traction regardless of the conditions. Tesla says the new crossover can hit 60 mph (96 km/h) in just 3.3 seconds, or 62 mph (100 km/h) in 3.5 seconds. While Tesla’s release for the most potent version of the world’s best-selling EV didn’t make any mention of a launch control system, a post shared to Reddit reveals that it has one.
A Hidden Performance Trick
The images, captured at what looks like a mall showroom, show the 2026 Model Y Performance’s central infotainment screen detailing how to enable what Tesla calls Launch Mode.
The display says the special mode “provides optimum acceleration for closed circuit driving and surfaces with good traction,” and it appears to function just like pretty much every other launch control system on the market.
Activating it is simple. Drivers press the brake firmly with the left foot while flooring the accelerator with the right. Once both inputs are registered, the display signals with a “Launch Mode enabled” message. The moment a driver lifts off the brake pedal, the Model Y Performance will sprint off the line like a scolded cat.
Given the instantaneous power provided by electric motors, launch control systems on EVs perhaps aren’t as important as they are in combustion-powered cars that need to build revs to get peak horsepower and torque. But, using launch control, even in an EV, is heaps of fun, so it’s nice Tesla has added it to the Model Y Performance.
That leaves the question of the Model 3 Performance. For now, owners don’t have access to the same feature, but given Tesla’s track record of adding capabilities through software updates, it wouldn’t be surprising if Launch Mode eventually makes its way into the sedan sooner rather than later.
Tesla has previously recalled over 1 million vehicles in the US over a similar issue.
The carmaker says the driver’s side window may close with excessive force.
Vehicles with software 2025.26.6 or later are not impacted by the Aussie recall.
A safety issue has prompted Tesla to recall more than 7,000 vehicles in Australia, though the fix is far less disruptive than most owners might expect. Instead of scheduling a trip to a dealership, drivers will simply receive an over-the-air software update that addresses the problem from home.
The recall was announced by the nation’s federal transportation department over the weekend and reveals that the driver’s side window’s automatic protection system may not function as intended. Consequently, the window may close with excessive force even if there’s an obstruction, like a hand or a finger. The department notes that this can increase the risk of injury to a vehicle occupant.
A total of 7,301 examples of the 2025 Tesla Model Y are impacted by the recall, with Tesla confirming that every variant of the SUV is included in the campaign.
The carmaker will reach out to all impacted owners in writing, informing them of the recall. Tesla has noted that any vehicle already running software version 2025.26.6 or later is exempt from the recall. Owners of 2025 Model Ys can view the software version they have by navigating to Controls > Software through the infotainment display.
As with many Tesla updates, the solution is delivered wirelessly. The corrective software will be pushed out to all affected Model Ys, eliminating the need for service center visits and keeping downtime to a minimum.
Lightning Strikes Twice
While this is the first time that the Tesla Model Y has been recalled in Australia for a problem related to the side windows, it’s not the first time Tesla has issued a recall for such a fault elsewhere. Almost exactly three years ago, Tesla recalled 1,097,762 vehicles in the United States because the side windows could close with more force than permitted under Federal Motor Vehicle Safety Standards and may not have retracted once an obstruction was detected.
This recall impacted what was the entire Tesla line-up at the time, consisting of the Model S, Model X, Model 3, and Model Y.
The flagship Tesla Model Y Performance debuts with a 3.3-second 0-60 mph sprint.
It comes fitted with a sharper aero kit, 21-inch wheels, and ventilated sports seats.
The EV rides on adaptive suspension and has a WLTP range of 580 km (360 miles).
Tesla’s latest addition to its lineup is a sharper, faster take on the world’s best-selling EV. The new 2026 Model Y Performance borrows much from the latest Model 3 Performance, combining dual-motor muscle with a reworked suspension, fresh styling, and sport seats. The goal is simple: deliver a family-friendly crossover that feels closer to a supercar than a school-run shuttle while keeping the price within reach.
From the outside, the flagship Y sets itself apart with a subtle but aggressive bodykit and a set of exclusive 21-inch Arachnid 2.0 wheels, complete with red brake calipers. The redesigned front bumper intakes, carbon spoiler extension, deeper diffuser, extra vents in the rear bumper, and a unique tailgate badge all help underline its range-topping status without overdoing it.
Inside, the Model Y Performance gains new sports seats with integrated headrests and stronger bolstering, complete with heating, ventilation, and electric adjustment. The dashboard is trimmed in carbon fiber and now frames a larger 16-inch infotainment display, an upgrade from the standard 15.4-inch unit, with sharper resolution. Rounding out the cabin, a 15-speaker audio system with a subwoofer comes standard.
Performance with Numbers to Match
The Model Y Performance has dual electric motors giving it AWD capabilities. While Tesla hasn’t published official output figures, reports suggest the European version produces 460 hp (343 kW / 466 PS). The North American-spec model is expected to be stronger, delivering 510 hp (380 kW / 517 PS), matching the Model 3 Performance.
What we know from the brand’s official website is that the most powerful version of the crossover sprints from 0 to 100 km/h (0-62 mph) in 3.5 seconds, or 0 to 60 mph in 3.3 seconds. That’s 0.2 seconds quicker than the outgoing Model Y Performance, though still 0.4 seconds slower than the lighter Model 3 Performance and 0.1 seconds behind the Hyundai Ioniq 5 N. Top speed remains electronically capped at 250 km/h (155 mph).
Suspension and Handling
In terms of chassis setup, the Model Y Performance swaps the frequency selective dampers of the regular version for a new set of electronically controlled continuously variable dampers. The system is similar to that of the Model 3 Performance but tuned specifically for the crossover. It’s paired with upgraded suspension hardware, staggered wheels, and new Drive Modes, including the option to configure the powertrain with a rearward torque bias for a more engaging drive.
Range and Charging
Despite the added performance, the Model Y Performance maintains a respectable WLTP range of 580 km (360 miles), just 6 km (4 miles) shy of the Long Range AWD version. Credit goes to high-density battery cells with increased charge capacity, paired with the new powertrain that offers a wider thermal operating window, improving overall efficiency. Hooked up to a Supercharger, the crossover can recover up to 243 km (151 miles) of range in only 15 minutes.
Pricing and Availability
The new Model Y Performance is already available to order in Europe, UK, the Middle East, and Africa, with deliveries scheduled to begin in September 2025.
In Germany, it’s priced at €61,990 ($72,400), which comes in €9,000 ($10,500) higher than the Long Range. In the UK, the figure is £61,990 ($79,000), or £10,000 ($12,800) more than the updated Model Y Long Range AWD. And for anyone who bought the “Launch Edition,” the difference is just £990 ($1,270), basically paying extra for the privilege of feeling a bit ripped off later.
At the moment, details for North America, including availability, have not been confirmed, though they are expected to follow soon.
Tesla appears to be gearing up to introduce the Model Y Performance on August 29.
The crossover could have a dual-motor all-wheel drive system with 510 hp and 546 lb-ft.
Europeans will apparently get the crossover first, but it should eventually come to the US.
Do you like the Tesla Model 3 Performance, but wish it came in a slightly more practical package? If so, you’re in luck as the Model Y Performance will apparently debut tomorrow.
While the automaker isn’t saying much, they released a “spoiler alert” on X showing a mysterious vehicle with a blurry spoiler. It’s presumably the Model Y Performance, which was spied earlier this year.
As previous pictures have shown, the crossover will look virtually identical to the regular model. However, the production variant could have sportier bumpers, a revised spoiler, and a modified diffuser. We can also expect unique wheels that are backed up by a high-performance braking system with red calipers.
The sportier styling should extend to the cabin thanks to supportive seats and carbon fiber trim. Other than that, it should largely carryover and include a 15.4-inch display as well as an 8-inch rear touchscreen.
Like the Model 3 Performance, the crossover will likely have an upgraded dual-motor powertrain that produces 510 hp (380 kW / 517 PS) and 546 lb-ft (741 Nm) of torque. This enables the car to accelerate from 0-60 mph (0-96 km/h) in 2.9 seconds with the rollout subtracted.
We can also expect a “performance-oriented chassis” with unique components that reduce mass and improve stiffness. Other highlights could include adaptive dampers, ultra-high strength steel springs, and stiffer suspension mounts.
We’ll learn full details soon enough, but it appears the Model Y Performance will initially be launched in Europe and the Middle East. It should eventually come to the United States and cost around $58,000.
Elon Musk says production of the Model YL might not be necessary thanks to autonomy.
If that doesn’t happen then he expects Model YL production to begin in the USA next year.
The new Model Y variant features six seats with two captain’s chairs in the second row.
Elon Musk finally addressed what so many have been asking for. The Model YL, an elongated version of the Model Y, was launched in China recently, but until now, we haven’t heard about whether or not it would actually come to America. The long and the short of it is, very likely next year.
The Model Y is Tesla’s best-selling car. In fact, it’s one of the best-selling cars worldwide across all brands. It’s not surprising then that fans would want the new six-seater version wherever they can get it. That kind of automatic demand made bringing the car to the U.S. seem like a no-brainer, and it still is, unless Musk finally accomplishes what he’s been promising for several years.
That promise is full-scale Level 5 autonomy to the point that it would negate the need for the Model YL. If that sounds a bit far-fetched, don’t feel bad. Musk has notoriously over-promised and under-delivered. Still, he finally addressed US production of the Model YL and brought up autonomy again.
In response to another person asking about the car on X he said “This variant of the Model Y doesn’t start production in the US until the end of next year. Might not ever, given the advent of self-driving in America.” No doubt, Tesla’s Robotaxi program is rolling out relatively fast, and faster than some cities say it legally can, but it’s far from a polished Level 5 system.
This variant of the Model Y doesn’t start production in the US until the end of next year.
Might not ever, given the advent of self-driving in America.
Every Robotaxi shuttling passengers around has an actual Tesla employee inside acting as a safety officer. On top of that, it begs the question that Musk didn’t respond to in his comment section. “Wouldn’t people with a lot of kids still want a 3-row SUV even with self-driving?” That didn’t come from some Tesla hater, either, but from the person the richest man in the world responded to in the first place.
Nevertheless, Musk isn’t saying exactly how larger families are supposed to get around, even if Robotaxi takes off. For now, expect Model YL production to begin in the USA late in 2026, or maybe even in early 2027.
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