The Tesla Model 3 has been the brand’s cheapest new car for over seven years now. However, a recent earnings call with the marque’s controversial CEO, Elon Musk dismissed the possibility of a non-autonomous EV to come in below the starting price of the Model 3. As a result, the facelifted Model 3 will likely be the cheapest way to get into a new Tesla for quite some time. 

Scrapped plans for a sub-$25,000 Tesla EV means the Model 3 might be the cheapest vehicle in the brand’s lineup in the future

For years now, Tesla has teased a cheap EV to undercut the starting price of the Model 3. However,  in a recent earnings call, CEO Elon Musk admitted that a “non-robo” sub-$25,000 EV was “pointless.” 

According to Reuters, Musk confirmed that a non-autonomous EV at that price point doesn’t fit in with the brand’s vision. “Basically, I think having a regular $25K model is pointless. It would be silly,” Musk said to an investor.

The news follows the debut of the Robotaxi, a self-driving two-seater with space for cargo. Incidentally, the so-called “Cybercab” will cost under $30,000. However, as the name suggests, the passenger won’t be driving the little two-seater. Instead, the garish little hardtop will transport passengers and cargo via fully autonomous architecture.

Consequently, the Tesla Model 3 will remain the cheapest option for the brand’s fans for the foreseeable future. As it stands, the 2025 starts at around $44,130. However, with a $7,500 federal electric vehicle tax credit, that figure can fall well below the $40,000 mark.

Still, fans who want an all-wheel drive (AWD) version of the Model 3 will have to contend with a roughly $50,000 price tag before a tax incentive. What’s more, with no cheaper option on the horizon, a rear-wheel drive (RWD) Model 3 will be the cheapest new Tesla EV for some time.