Nearly 3 years after announcing the Model 3 and taking $1000 deposits from hundreds of thousands of customers, the automaker has announced they will finally be releasing the base model, priced at $35,000.
For the past year Tesla has been selling higher end Model 3’s that had a base price of $45,000, Most come with extras pushing the price tag well above $50,000. Rollout of the cheaper model has been repeatedly postponed. The base Model 3 will have a with “220 miles of range, a top speed of 130 mph and 0-60 mph acceleration of 5.6 seconds” according to the press release.
Auto industry insiders were skeptical that Tesla could produce the $35,000 version. With the announcement that they were beginning production on the cheaper model, Tesla also announced they were closing many of their showrooms and converting to online sales. This is being done in effort to cut costs. No word yet on which showrooms will close.
In December it was announced that Tesla was opening a retail store in the Roseville Galleria. The company also has store and service center in Rocklin.
The number of Teslas seen on the road in the Elk Grove area has steadily increased with the cheaper Model 3. Base price on the Model X (SUV) with the gullwing doors is around $76,000, while Model S has a base price of $67,250. Some government tax incentives are going away.