Everything we know about Tesla’s new model launching this week
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Fred Lambert
| Oct 6 2025 - 3:00 pm PT
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Tesla is planning to launch a new vehicle this week, which is expected to be a new base variant of the Model Y – often referred to as a “stripped-down Model Y.”
Here’s everything we know about the new electric vehicle.
Tesla’s new “more affordable models”
Tesla has been talking about launching new “more affordable models” during the first half of the year.
The first half of 2025 came and went without new, cheaper models. Instead, Tesla claimed that the “first build” of the new model was produced in June, and it will launch later this year.
Now, it is finally upon us.
A few teasers released over the last two days confirm that Tesla plans to launch a new vehicle on Tuesday, October 7th.
Everything suggests that it is not a new “model” but rather a new base variant of the Model Y.
There has been confusion surrounding what Tesla plans to release, and CEO Elon Musk has been largely responsible for it. The CEO announced at Tesla’s Battery Day in 2020 that the automaker was working on delivering a “$25,000 electric car.”
However, as we have been reporting for a year, Musk canceled Tesla’s planned “$25,000 EV” in favor of stripped-down versions of its Model 3 and Model Y.
When it was first reported that the vehicle program was canceled, Musk denied the news.
Due to Tesla still referring to them as “new, more affordable models”, many people believed that Tesla would still bring to market new, cheaper models.
Musk finally confirmed that the first “new affordable model” is in fact simply a Model Y back in July.
While Tesla first intended to launch the new cheaper variants in the first half of the year, we reported that the automaker would likely wait until Q4 as it benefited from inflated demand in Q3 due to the tax credit for electric vehicles going away.
Tesla’s E41 stripped-down Model Y
We already know almost everything about the new stripped-down Model Y. Prototypes have been spotted for months, and recently, Tesla didn’t bother to camouflage them.
Images and specs have also leaked through Tesla’s software and website.
As for the design, it features a simplified front and back and loses the lightbars that were introduced in the Model Y design refresh earlier this year.
There’s no glass roof, which is currently standard on the Model Y.
The wheels also appear to be cheaper-looking, with a visible wheel cover. Although there might be a fancier one available based on one of the teasers:
Inside, Tesla is expected to use cheaper materials, specifically textiles on the seats, a simplified fiberglass headliner, less cabin lighting, and single-axis seat controls.
Furthermore, the vehicle is expected to have a lesser audio system and no screen for the second row.
The stripped-down Model Y is also believed to be losing a power-folding mirror and be equipped with a downgraded suspension.
As for the specs, Tesla is likely going to stick to a rear-wheel-drive motor, but with a smaller LFP battery pack than in the one in the current base version of the Model Y.
We can expect a range of between 250 and 300 miles (400-485 km).
Electrek’s Take
The biggest unknown is the price. Tesla is cutting a lot of features here.
Considering the current Model Y Long Range RWD starts at $45,000 in the US, we should expect a much cheaper price.
I think it needs to be between $30,000 and $35,000. If it’s more than that, it will be a redo of the Cybertruck RWD, which only lasted a few months.
We need to keep in mind that the Model Y Long Range RWD was $37,500 in the US with the tax credit last week.
If Tesla is closer to $30,000, it is a win, but if it is higher than $35,000, it is a big loss.
I was hoping for an event with a chance for a “one more thing” moment, but it doesn’t even look like Tesla is planning an event to unveil this. The automaker only mentioned the date, October 7th, without a time for an event.
The automaker brought a group of Tesla influencers to Gigafactory Texas last week, most likely to showcase this vehicle.
Therefore, I expect a launch on the website and social media, featuring content from influencers, as well as a few select outlets, such as Jay Leno’s Garage and Motor Trend, depending on how Tesla feels about them at the moment.
