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    Tesla Model Y Price Increases By $12,000

    Image Source: Iv-olga / Shutterstock

    The world’s top-selling electric vehicle is getting a makeover—and a steep price increase—rising by $12,000 compared to last year’s Model Y. Tesla introduced the 2025 Model Y in China on January 10, subsequently updating its U.S. configurator with pricing information on Wednesday. Set to launch in March, the 2025 Model Y Launch Series will be priced at $61,630, which includes a $1,390 destination fee and a nonrefundable order fee of $250.

    This marks the first refresh of the electric crossover that debuted with the 2020 model year, featuring a more aggressive design, enhanced noise and vibration insulation, and a refined suspension. Similar improvements made to the refreshed 2024 Model 3 Highland resulted in a quieter, smoother driving experience, along with better overall quality in terms of fit and finish.

    If these advancements carry over to the 2025 Model Y Launch Series, also referred to as Juniper, it could resolve the significant issues we had with this extremely popular electric vehicle.

    Among the updates is a more angular front end featuring slim headlight slits alongside a light bar, giving the vehicle a sportier appearance. The rear also sports a light bar that connects across the tailgate, creating a cohesive design that is complemented by the body lines along the sides. The changes appear to draw inspiration from the futuristic Tesla Cybercab concept introduced last October, and the Model Y now showcases more aerodynamic elements, including 19-inch Crossflow wheels.

    Initially, the new Model Y will only be available in the Long Range All-Wheel Drive version. The battery capacity is expected to remain at around 75 kWh (Tesla does not disclose specific battery details), but the range has improved from 311 miles in the current Model Y Long Range AWD to 320 miles in the Launch Series; opting for the 20-inch wheels will reduce the range to 303 miles. The 0-60 mph acceleration time has decreased from 4.8 seconds to 4.1 seconds, while the top speed has dropped from 135 mph to 125 mph.

    The Launch Series is equipped with notable standard features, including power-adjustable front seats with heating and cooling options, as well as heated, power-folding rear seats. With seating for five, rear-seat passengers also benefit from an 8.0-inch touchscreen, which could be particularly useful for rideshare Model Ys. Additionally, Tesla enhances the sound system to include 15 speakers, and the new Model Y offers ambient lighting as well as a hands-free power tailgate.

    A significant factor contributing to the $12,000 price increase is the inclusion of a new front-facing camera and the company’s controversial driver-assist system, known as “Full Self-Driving.” This option currently costs $8,000 on the Long Range All-Wheel Drive variant. What was previously referred to as “Full Self-Driving Beta” was renamed “Full Self-Driving (Supervised)” last year, adding capabilities for residential and city driving, likely in response to NHTSA’s scrutiny regarding 2.4 million Teslas equipped with FSD. Additionally, further investigations have been launched regarding Tesla’s Smart Summon feature.

    There is no $2,000 third-row option available for the Launch Series model.

    Deliveries for the 2025 Model Y Launch Series are set to begin in March for customers in China and Asia before rolling out to North America. Tesla has yet to announce the timeframe or specific details regarding a single-motor rear-wheel-drive model or a Performance variant. Orders for the Launch Series are currently open, alongside the existing models.

    Image Source: Iv-olga / Shutterstock

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