Tesla Increases Model Y Prices 8th time in the year while expecting new Fed incentives

Tesla has again increased the price of the Model Y in the US, making it the eighth time this year. It is coming as new incentives are expected.

Tesla prices have increased widely across the entire lineup in 2021. Last month
alone, there were two significant price increases on Model 3 and Model Y. In November, Tesla started the month with another significant price increase across the lineup. Now just a week later, the automaker is again increasing prices, but
this time it’s only for the Model Y.

Tesla Model Y prices

With the very frequent price increases this year, Tesla would generally apply
them to both Model 3 and Model Y, which share lots of parts and the automaker blamed price increases on supply chain costs. However, in this price increase revealed through another overnight configurator update, Tesla only appears to be increasing the price of the Model Y.

Both trims have received a $1,000 price increase. The updated prices for all versions of the Model Y are:

Tesla Model Y Long Range Dual Motor: price went from $57,990 to $58,990

Tesla Model Y Performance: price went from $62,990 to $63,990

Here’s what Tesla’s Model Y configurator looks like after the overnight update:

While $1,000 might not be much relative to the total price, it is more about the accumulation of the smaller price increases throughout the year.

Early in 2021, Tesla was selling the Model Y Long Range for just $50,000. It is
now $9,000 more expensive.

New EV incentive in the US

The recent price increases have come as Tesla buyers are expected to soon
regain access to the federal EV incentive.

The pending Build Back Better Act should give Tesla buyers $7,500 in tax credit.