Another One Bites the Dust
Since the start of this year, Tesla has been dropping models, including the Model S and Model X, and more recently announced plans to discontinue the Cybertruck in 2027. The EV maker explained that it is shifting priorities to projects like the Cybercab robotaxi and Optimus humanoid robot, which would expand its business beyond selling EVs.
The latest on the chopping block appears to be the all-wheel-drive version of the entry-level Tesla Model Y, though the automaker did it quietly. This variant is no longer available on the online configurator, leaving the Premium AWD as the most affordable Model Y with an AWD system, starting at $49,990. That’s $8,000 more than the previously available entry-level AWD.
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Gone Too Soon?
The entry-level Model Y AWD was only introduced in February 2026, meaning the trim would have had a run of just nine months if Tesla permanently discontinues it rather than temporarily removing it from the lineup. Moreover, Tesla could lose budget-conscious buyers looking for an AWD EV, given that several rivals offer one around the $40,000 price point.
Ford offers the Mustang Mach-E Select AWD at $40,795, while the Chevrolet Equinox EV LT 1 AWD starts at $40,495, both excluding destination charges. At this price point, the Tesla Model Y is available only in a rear-wheel-drive variant, starting at $39,990. This is the trim the automaker introduced in October 2025 to improve affordability following the expiration of the federal EV tax credit.
Tesla does not provide sales figures broken down by Model Y variant, making it difficult to understand why the entry-level AWD was removed from the configurator. Some possible reasons could be that budget-conscious buyers prefer the RWD, Tesla wants to steer customers toward the higher-margin Premium AWD, or the automaker simply wants to simplify its lineup. Again, there’s no official word on the matter.
What Buyers Are Missing
For reference, the entry-level Model Y AWD featured a dual-motor setup capable of accelerating from zero to 60 mph in 4.6 seconds, 0.3 seconds slower than the Premium AWD. It also offered an EPA-rated range of 294 miles, the lowest across the model range. The RWD counterpart offers an EPA-rated range of 348 miles, but with its single-motor setup, it takes 6.8 seconds to go from zero to 60 mph.
Interested buyers can still check Tesla’s existing inventory if they find its balance of price and performance appealing.
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