Tesla starts production of cheaper new Model Y non-Launch Edition

Tesla has started production of the new Model Y non-Launch Edition, which is going to be cheaper without all the options bundled together.

However, the automaker hasn’t started to take orders yet.

Tesla opened orders for the refreshed Model Y in North America and Europe in late January and started deliveries in early March in the US.

The only trim available has been a special “Launch Edition” version of the Long Range AWD.

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It starts at $60,000, which is $12,000 more than the Model Y LR AWD used to cost, but Tesla bundled all options together, forcing all Launch Edition buyers to get the vehicle fully loaded, including the $8,000 Full Self-Driving package.

The Launch Edition also features special badging throughout the vehicle, along with “Premium Textile Trim” and “Vegan Suede for Black Interior”.

Now, a new drone flyover of GIgafactory Texas shows that Tesla has started to produce regular non-Launch Edition new Model Y as several new Model Y vehicles were spotted without Launch Edition badges:

However, as of the time of writing, Tesla had yet to open up orders for the new Model Y non-Launch Edition in the US and Canada:

In China and Europe, Tesla is already taking orders for all Model Y trims without Launch Edition bundles.

We suspect that this has to do with Tesla having some demand issues for the new Model Y Launch Edition in the US.

We reported yesterday that Tesla can deliver the vehicle in most colors on the same day as you order in the US, pointing to having exhausted its order backlog just a few weeks after starting deliveries.

Electrek’s Take

Launching the cheaper non-Launch Edition version would affect demand for the Launch Edition, and it’s clear that Tesla is having issues selling all of them by the end of the quarter.

Tesla always attempts to reduce its inventory as much as possible at the end of the quarter to improve its quarterly earnings results.

I expect Tesla will open orders in North America at the beginning of the second quarter later next week.

In Europe, Tesla is already taking deliveries for all versions of the new Model Y non-Launch Edition, but only the LR AWD has started deliveries.

The RWD versions are expected to arrive in May-June.

In China, RWD deliveries have started and new orders can be delivered within 2-4 weeks.