On July 8th, 2021, the Standard Range Model Y was officially launched on Tesla China’s website. Despite everyone’s belief that the price of the Standard Range Model Y would be below 300,000 RMB, we couldn’t help but exclaim “Holy S***” when we saw the actual price of 276,000 RMB.
Undoubtedly, this Standard Range Model Y, which will begin deliveries in August, will greatly accelerate the process of the Model Y becoming a popular car on the street. At the same time, it is sure to give competitors another headache.
Take A Look at The Specs
Not So “Standard” for An Entry-Level Car
Apart from the price, the biggest selling point of this Standard Range Model Y is its battery life. The latest news suggests that this Standard Range Model Y has a 60 kWh battery capacity. The official NEDC range of 525 km is only 69 km shorter than the Long Range 4WD Model Y, and 57 km longer than the Standard Range Model 3.
Although 69 is a bigger number than 57, the fact that it starts with the number 5 makes it easy for people to think that “compared to the standard Model 3, the improvement is significant, and compared to the Long Range 4WD Model Y, the battery life hasn’t been reduced by much.”
Considering the needs of daily urban commuting, 525 km of battery life is more than enough. Recharging three times every two weeks is a practical scenario. Even occasional long trips of 200 km won’t be a problem.
As for performance, the Standard Range Model Y is not “standard” at all. It boasts a zero-to-100 km/h acceleration of 5.6 seconds and a top speed of 217 km/h, which are impressive for an entry-level performance car.
Based on current information, the Standard Range Model Y is most likely equipped with the 3D6 rear motor from the Shanghai Tesla factory, with a maximum power of 220 kW, which is 26 kW more than the 3D7 motor on the Long Range 4WD Model Y.
Interior Improvements?
After carefully reviewing Tesla’s official website, I also discovered some “curious” improvements to the interior of the Standard Range Model Y. Here’s a comparison of the interior configurations of the Model 3 and Model Y.
You can see that the standard range version of Model 3 does not come with the Premium Interior Package, but on Model Y Standard Range version, this configuration, which includes 14-speaker sound system, rear seat heating, steering wheel heating, and HEPA air filter, becomes a standard feature.
This means that in addition to lacking all-wheel drive, having a range that is 69 km shorter, and being 0.6 seconds slower in acceleration from 0 to 100 km/h, there is not much difference between the standard range version of Model Y and the long range all-wheel drive version, but the former is priced 71,900 yuan cheaper.
There is also a purpose behind the price
According to the current subsidy policy, the standard range version of Model Y can receive government subsidies as long as its price is within 300,000 yuan. In reality, the pre-subsidy price of the Model Y standard range version is 291,840 yuan.
Assuming private purchase, you can get a subsidy of 15,840 yuan at this price, which reduces the post-subsidy price to 276,000 yuan as displayed on the official website. However, it should be noted that this price can only buy the model with black exterior, black interior and 19-inch low drag coefficient wheels.
With a 8,160 yuan difference from 300,000 yuan, the pre-subsidy price of 291,840 yuan actually leaves a selection window of 8,000 yuan, which allows users who want some differentiation to make a choice among three options in terms of car paint, interior, and wheels.
Of course, you can choose more than one option, but choosing one more option will cost not only an additional 8,000 yuan, but also the loss of the subsidy of 15,840 yuan if the final price exceeds 300,000 yuan. Spending an additional 23,840 yuan for an extra option will be less cost-effective relatively.
Key question: How to choose
So far, there are 5 Tesla models available for sale in China:
- Model Y Performance version, priced at 377,900 yuan;
- Model Y Long Range all-wheel drive version, priced at 347,900 yuan;
- Model Y Standard Range version, priced at 276,000 yuan;
- Model 3 Performance version, priced at 339,900 yuan;
- Model 3 Standard Range Plus version, priced at 250,900 yuan.# About the selection, we will mainly focus on the Model Y Long Range version to make some classifications.
3 or Y?
In terms of car models, there are obvious differences between Model 3 and Model Y in terms of size. After actual experience, the Model Y with a higher and more comfortable rear seat, foldable rear seat, and larger trunk outperforms Model 3 in terms of riding comfort and storage space, which are practical properties that are frequently used. In my opinion, Y is a better choice for household car users.
In comparison, Model 3’s advantage lies in its more coordinated appearance and better handling experience. For users who mainly use private cars and want to buy a sports sedan, Model 3 will be more attractive.
If considering an entry-level model, the Model Y Standard Range version is actually more cost-effective than the Model 3. For only an additional 25,100 RMB, the car could be upgraded from a sedan to a same-level SUV without sacrificing performance, while also increasing the range and configuration. This is something that cannot be found in the same-class gasoline car market, let alone the EV market.
Is it necessary to go for a high-end version?
Currently, there is a price difference of 101,900 RMB among the three models of Model Y being sold. In my opinion, for most users, the differences in power and range between the Standard Range version with the high-end interior package and the Long Range AWD version are not worth the additional 71,900 RMB.
However, there is one thing to note that the Standard Range version of Model Y uses lithium iron phosphate batteries from CATL. Due to their chemical characteristics, the decays in range during winter will be more severe than the Long Range AWD model with LG lithium-ion batteries. Therefore, users in the northern regions should carefully consider this fact before making a purchase. For further information on how the range of the Model Y with lithium iron phosphate batteries performs in winter, you are welcome to communicate with us in the 42 Garage Owners Group.
Then there is the Model Y Performance version aimed at performance users. For an additional 30,000 RMB on the AWD version, the acceleration time from 0 to 100 km/h could be reduced from 5 seconds to 3.7 seconds, which is already a good deal. The vehicle also comes with 21-inch arachnid wheels, high-performance tires, larger red brake calipers, carbon fiber spoiler, metal pedals, and a racing mode software that freely distributes power to the front and rear axles. Even if these extras are added aftermarket, it would still cost around 20,000 RMB, which justifies the additional 30,000 RMB price difference.As a high-performance SUV, the Model Y Performance priced at 377,900 yuan is not expensive at all. However, compared with the standard version of Model Y, the performance version that costs 100,000 yuan more has a smaller audience.
Some Are Happy and Some Are Worried
When the standard version of Model Y priced at 276,000 yuan was launched, Tesla fans cheered. However, it put pressure on competitors in the range of 250,000 to 300,000 yuan.
ECARX 001
One of the main “victims” currently is the ECARX 001, which has recently attracted a lot of attention. The starting price of the WE model is 299,000 yuan, but after a 20,000 yuan discount for a deposit of 5,000 yuan and a subsidy of 18,000 yuan if the car is delivered this year, the final price is 266,000 yuan.
As the first model of the brand, ECARX 001 has played a new high with its cost performance. The WE version of the rear-drive model is equipped with a 100 kWh ternary lithium battery with a NEDC range of 712 km. The dual-motor four-wheel drive version is equipped with an 86 kWh “small battery”. It can accelerate to 100 km/h in 3.8 seconds while the NEDC range is still not inferior with 526 km, even compared with the standard version of Model Y.
However, according to the official data of ECARX, the orders for ECARX 001 have reached the production capacity saturation line of this year, so it is highly likely that customers who placed orders now will not get the car before the New Year’s Day.
For users who do not have the idea of “I must buy this car”, waiting for half a year to buy a car is a discouraging factor. In addition, whether the subsidy will change next year when the car is delivered is also unknown. Therefore, the standard Model Y that can be delivered in August is very tempting.
Mustang Mach-E
Then there is the Ford Mustang Mach-E, which is a product that closely matches the Model Y. This pure electric SUV was launched in mid-April this year, and its size is close to that of the Model Y, with many overlapping product features.
Before the release of the standard version of Model Y, the entry-level Mach-E priced at 265,000 yuan was somewhat attractive to potential users of the standard version of Model 3, as it seemed that for only an extra 15,000 yuan, they could buy an SUV with similar range.
However, the problem is that the announced Mach-E may be delivered later than the Model Y, and the latter has better acceleration and endurance data. Ford, which has a relatively weak influence in the electrification branding, has missed the “I have what they don’t” window of opportunity previously due to the absence of the Model Y, and the upcoming challenges will be even more difficult.
Indiscriminate Strikes around the Price Range
Apart from the above two models that may be significantly affected, a bunch of pure electric models that are already on the market and available for sale, such as NIO ES6/EC6, Xpeng P7, BYD Tang EV/Han EV, Volkswagen ID.6/ID.4, will actually be influenced by the launch of the Model Y with upgraded endurance.
Combined with the performance of the Model 3/Y in the market in the past two years, I would like to use “unique gravitational force” to describe the pricing range dominance that these two Tesla models have demonstrated. In other words, when it comes to competitors in a certain price range, regardless of the model and position, Model 3/Y has an indiscriminate strike.
Because of the four key factors considered when buying a car, namely: core product capabilities + services + brand + price, Tesla has never lost more than two in terms of comprehensive comparison. Tesla has four long boards, and those who can win Tesla in a single item often have their own strengths and weaknesses with a significant gap in the losing items.
With the model Y with upgraded endurance, the “unique gravitational force” effect may be even more significant than the Model 3.
Conclusion
What is the scariest thing about the launch of the Model Y with upgraded endurance?
You know it can come, you know it will come, and you can even guess its price. However, when all of this really happens, all the mental prevention measures that were taken beforehand are useless, and you still find it unbelievable.
The Model Y with upgraded endurance has already played its ace card, but Tesla still holds the long-range rear-wheel drive Model 3 and long-range rear-wheel drive Model Y. Based on the current price range of Model 3/Y, the former will be priced at around 280,000 yuan, and the latter will be priced at around 310,000 yuan. I believe that when there is sufficient production capacity in the Shanghai factory to produce these two models, they will also stir up social media again like today’s Model Y with upgraded endurance.
It’s like in the last minute of a game, you don’t have to guess that the opponent’s tactics will pass the ball to Kobe, and Kobe will definitely make the winning shot. However, as the defensive side, you are actually helpless.
As the title says: what kills the heart more than a conspiracy is a successful plan.
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.