Tesla’s Budget Model Y Hits Canada, Cheaper Than the U.S.

Image: Tesla

Tesla has quietly added a new entry-level Model Y to its Canadian lineup, giving buyers north of the border a cheaper way into the company’s best-selling electric SUV — and, interestingly, one that undercuts U.S. pricing.

As reported by iPhone in Canada, the Model Y Standard Rear-Wheel Drive has now appeared on Tesla’s Canadian configurator as of Thursday. The vehicle starts at $49,990 CAD before options and incentives, making it roughly $15,000 cheaper than the Model Y Premium All-Wheel Drive, which had previously been the lowest-priced option in Canada.

Based on current exchange rates, that puts the Canadian Model Y Standard at roughly $36,000 USD — notably less than the $39,990 USD starting price for the same trim in the United States. The pricing gap is likely explained by Tesla importing Canadian-bound Model Ys from Gigafactory Berlin, allowing the company to avoid steep tariffs on U.S.-built vehicles. Tesla’s Berlin-built Model Y has already been rolling out across Canada.

The Model Y Standard offers 463 km of EPA-estimated range, a top speed of 201 km/h, and a 0–100 km/h time of 7.2 seconds. It’s rear-wheel drive only and comes with 18-inch wheels, a black textile interior, and fewer premium comfort features (like heated rear seats) compared to higher trims. That said, Canadian buyers get a notable perk: the inclusion of Basic Autopilot and FM radio—a feature that is missing on the U.S. version of the Model Y Standard.

Image: Tesla

Buyers can still add Full Self-Driving for $11,000 CAD or opt for Tesla’s monthly subscription.

The Model Y Standard first launched in the U.S. last October alongside the company’s cheapest EV yet, the Model 3 Standard. It debuted in Europe shortly after. A Model Y Standard was even spotted in Canada around that time, but it is only now that Tesla is officially offering it for sale. There’s still no word on when — or if — the Model 3 Standard will make its way to Canada.

Also new for Canadian buyers, Tesla has introduced Marine Blue, a $1,300 paint option that’s exclusive to the higher-end Premium and Performance trims. Tesla has also opened up leasing for the Model Y Performance in Canada, giving buyers another option to get their hands on the top-tier version.

At this price point, the Model Y Standard lands well above a Toyota RAV4 Hybrid, but offers a compelling entry into Tesla ownership, full Supercharger access, and one of the safest vehicle platforms on the road. First deliveries are expected within four to six weeks.