tesla model 3 price drop

Tesla’s Model 3 prices in Australia haven’t changed for 2025, staying at the same levels set in 2024. The base model starts at $54,900, while the top Performance version costs $80,900. Drive-away prices range from $57,571 to $89,179 depending on where buyers live.

The electric sedan‘s price has jumped noticeably since it first arrived in Australia. Back in 2019, the Model 3 started from just $20,400. By 2022, that entry price had climbed to $34,800. Last year saw prices reach $47,200 for the base model before settling at today’s levels.

Tesla dropped prices multiple times in early 2024 but kept them steady through the second half of the year.

Tesla adjusted prices frequently in early 2024 before maintaining stable pricing through year’s end.

Three versions are available to Australian buyers. The base rear-wheel-drive model delivers 513 kilometers of range. The Long Range all-wheel-drive variant achieves 629 kilometers and costs $64,900. The Performance model tops the lineup at $80,900.

All models come from Tesla’s Shanghai factory, which guarantees steady supply for the Australian market. Tesla provides a four-year warranty covering the vehicle with 80,000 kilometers included. The battery comes with an 8-year warranty extending to 160,000 kilometers for added peace of mind.

Government incentives help reduce the actual cost for many buyers. All Model 3 variants qualify for fringe benefits tax exemptions when purchased through fleet or novated lease arrangements. Different states offer various rebates and incentives for electric vehicle purchases.

These benefits make the cars more affordable for business buyers who’d otherwise face higher upfront costs compared to regular gas-powered vehicles.

The Model 3 faces competition from several electric sedans. The Hyundai Ioniq 6, Polestar 2, and BYD Seal compete directly in the same market segment. Tesla’s own Model Y SUV also competes for buyers’ attention.

Despite the competition, the Model 3 remains Australia’s best-selling electric sedan.

Concerns about resale values worry potential buyers. Used-car shoppers fear expensive battery replacements down the road. These worries affect how much electric vehicles are worth on the second-hand market. The Model 3 retains approximately 37.3% of value after five years, which is lower than many luxury competitors.

Battery longevity questions make buyers uncertain about long-term value.

The Model 3 offers practical storage with boot space ranging from 594 to 682 liters. Five exterior colors are available.

The car’s combination of range, performance, and practicality continues attracting Australian buyers despite pricing concerns.