Tesla has standardized its vehicle nomenclature in Australia and New Zealand to mirror its international naming conventions. In a move that will disappoint potential buyers seeking more affordable options, the electric vehicle manufacturer has confirmed that less expensive models introduced in other markets will not be made available locally.
Updated Local Lineup and Pricing
The updated Tesla lineup in Australia, effective from early 2026, features revised names for its non-Performance variants. The pricing, excluding on-road costs, is as follows:
- Tesla Model 3 Premium Rear-Wheel Drive – $54,900
- Tesla Model 3 Premium Long Range Rear-Wheel Drive – $61,900
- Tesla Model 3 Performance All-Wheel Drive – $80,900
- Tesla Model Y Premium Rear-Wheel Drive – $58,900
- Tesla Model Y Premium Long Range All-Wheel Drive – $68,900
- Tesla Model Y Performance All-Wheel Drive – $89,900
These changes primarily affect the naming, with ‘Premium’ now designating all non-Performance trims. Local specifications and pricing remain otherwise unchanged.
Enhanced Trade-in Bonuses and Warranty
In an effort to stimulate sales at the beginning of 2026, Tesla has expanded its trade-in bonus program. Initially offered on Model 3 sedans, the bonus now extends to the Model Y SUV, which holds the distinction of being Australia’s best-selling EV.
Eligible buyers purchasing a new or demonstrator Model Y Rear-Wheel Drive or Long Range variant will receive a $2,000 discount upon trading in a used vehicle. This offer is in addition to a similar $3,000 trade-in bonus for customers acquiring a Model 3 Rear-Wheel Drive or Long Range model.
Furthermore, all new Model 3 and Model Y purchases made from the start of 2026 will benefit from Tesla’s recently upgraded five-year, unlimited-kilometer warranty. This represents a significant enhancement from the previous four-year or 80,000 km warranty and is reportedly a global first for a market where Tesla vehicles are sold, according to Tesla Australia.
Model 3 and Model Y Evolution
Tesla’s refreshed Model 3 was introduced in late 2024, with the Rear-Wheel Drive and Long Range versions initially available, followed by the Performance variant in 2025. A notable development occurred in October 2025 with the launch of the Model 3 2026 Long Range Rear-Wheel Drive, which boasts an impressive 750 km range on a single charge, positioning it as Australia’s longest-range EV.
This extended range is attributed to an increased 84 kWh NMC battery capacity. The RWD variant offers 230 km more range than the entry-level RWD model and 121 km more than the previous Long Range All-Wheel Drive version in Australia. The single-motor configuration of this long-range variant also resulted in a price reduction to $61,900 before on-road costs, down from $69,900 for the earlier Long Range AWD model.
The Model Y also underwent a refresh in 2025, with initial deliveries commencing in May. The upgraded model has seen steady demand. The inclusion of Tesla’s unique Full Self-Driving (FSD) offering in the Australian market adds an interesting dynamic to the brand’s prospects for 2026, as it aims to maintain its leading position in the EV segment.