New entry Model 3 re-sets pricing position for Elon’s brand.

ONE of the biggest exporters of electric cars out of China has gone to battle with the domestic brands from there that are chasing share of the New Zealand market.

Tesla, whose products for this country now once again come out of a factory in Shanghai, has reacted to increasing competition for in the sub-$60,000 bracket by releasing a cheaper version of its Model 3 sedan, in rear-drive.

At $54,900, the new RWD derivative is $9000 cheaper than the previous cheapest choice, the Model 3 Premium RWD.

It has greater range than the Premium, with ability to cover a claimed 572km on a full charge, compared to 520km.

While Tesla says the car retains a lot of salient plus points - the panoramic glass roof, over-the-air updates and Supercharger network access all retain - it divests some equipment and rides on passive suspension, whereas the Premium has frequency dependent shock absorbers.

Woven textile upholstery features, although some ‘vegan leather’ - Tesla-speak for vinyl - is retained. The audio system has been downgraded to seven speakers from nine and the rear-seat touch screen has been deleted. The ambient lighting has also been scaled back.

The new choice comes as Tesla announces a raft of tweaks and pricing readjustments spanning other editions of the Model 3, as well as the Model Y.

A move to China production from Germany for the flagship Model Y Performance has reduced the price from $100,900 to $95,900.

That edition also benefits from an increase in range, up 29km to a total of 600km (WLTP).

"Power Share" - Tesla-speak for vehicle to load - is now available across all Model 3 and Model Y variants, though it requires a Tesla Outlet Adapter for owners to power devices and appliances. This also only applies to 2027 model year vehicles and cannot be retrofitted to existing vehicles.

Two new colour options have been added - Glacier Blue and a Zen Grey interior - and Model 3 Premium and Performance gain a new 16-inch first-row touchscreen, a dark headliner and the Zen Grey interior option. Model 3 Premium is also available with new 19-inch Dark Nova wheels.