Tesla Model 3 becomes Australia's cheapest electric sedan

The Tesla Model 3 has gained a new entry-level variant, bringing the base price down to $45,900 before on-road costs – and making the Chinese-built sedan the cheapest electric sedan on the market.

That makes the new Model 3 RWD a whopping $9000 cheaper than the Premium RWD that previously opened the range, and now sits in the middle of the local lineup.

With its $45,900 plus on-roads price tag, the Model 3 RWD undercuts the BYD Seal Premium ($52,990 plus on-roads) and Kia EV4 Air ($49,990 plus ORCs).

The RWD is available to configure on Tesla Australia’s website from today, with customer deliveries commencing from mid-to-late October 2026.

Tesla has brought the Model 3's price down by removing some interior features.

The front seats have lost their ventilation function, while the 8.0-inch rear touchscreen – which passengers could use to adjust climate and media settings – has been removed. Two USB-C outlets remain in the rear, while there’s one at the front of the cabin.

Ambient lighting is also listed as being present only in the footwells, instead of running across the dash as in the Premium. The seats also aren’t fully upholstered in leatherette, now featuring textile inserts, and the sound system features seven (instead of nine) speakers.

However, standard equipment still includes:

• Panoramic glass roof
• Hands-free power boot-lid
• Matrix LED headlights
• Power-folding exterior mirrors
• 16-inch touchscreen infotainment system, incl. embedded media apps, Grok AI, Pet Mode
• Wireless phone charger
• Heated, power-adjustable front seats
• Heated steering wheel
• Heat pump
• Autonomous emergency braking
• Blind-spot monitoring (incl. blind-spot camera)

Using the same battery as the Premium RWD, the RWD has 572km of WLTP range – up 52km – and a 0-100km/h time of 6.2 seconds. 

The Model 3 RWD comes standard with Pearl White multi-coat paint, with Diamond Black and Stealth Grey finishes available for an extra $1500 and $1900, respectively. The only wheels are 18-inch alloy ‘Prismata’ items.

You can also add a subscription to Full Self-Driving (Supervised), which costs $149 per month.

In addition to the launch of the new base RWD, Tesla has given Premium and Performance variants of the Model 3 a new 16-inch first-row touchscreen, a dark headliner, and a Zen Grey interior option. The Premium can also be had with new 19-inch 'Dark Nova' alloy wheels.

The Model 3 Performance has also received a slight bump in range, rising 29km to an even 600km on the WLTP cycle.

All Model 3s are now available with Powershare, Tesla's vehicle-to-load (V2L) system, allowing you to power small appliances using the vehicle's battery.

However, you'll need to purchase the optional Tesla Outlet Adapter from the Tesla Shop. This functionality is also only supported on model year 2027 (MY27) vehicles, with older Model 3s not able to be retrofitted.

All Model 3s are backed by a five-year, unlimited-kilometre vehicle warranty and an eight-year, 160,000km battery warranty, with a minimum 70 per cent retention of battery capacity over the warranty period.

"Model 3 Rear-Wheel Drive is the most affordable way for Australians and New Zealanders to own a Tesla, and the most accessible way to experience Full Self-Driving (Supervised)," said Tesla’s Australian and New Zealand country director, Thom Drew, in a press release.

The Model Y, Australia's best-selling electric vehicle (EV), has also received upgrades for MY27 including new paint colours and quicker acceleration times. The Performance, which had been Tesla Australia's only vehicle not sourced from China, is now being sourced from there instead of Germany.

Pricing

MORE: Explore the Tesla Model 3 showroom