Tesla re-releases Long Range Model 3 AWD in the US with surprising range changes and awkward pricing

After removing it from the vehicle late in 2022, Tesla has reintroduced the Dual Motor AWD Model 3 Long Range to the US online vehicle configurator, as spotted by InsideEVs. Tesla CEO, Elon Musk, had previously stated that the vehicle was removed from the store because of growing wait times. The vehicle's return to the US market is marred by an odd combination of regulatory, pricing, and configuration issues, though.

At face value, there is a US$3,000 price difference between the AWD Model 3 LR, with "325+ miles" of range, and the AWD Model Y LR, with 330 miles of range — a difference in favour of the Model 3, that is. When you take into account the new US tax credits, which take US$7,500 off the top of the Model Y's price, but only US$3,750 off of the price of the Model 3, the Model 3 starts to make less sense. Taking the US federal tax credits, the AWD Model 3 LR comes in at US$43,490, while the Model Y with almost identical specifications comes in at US$42,740 — US$750 less than the Model 3.

For buyers not interested in the slightly larger Model Y, the Model 3 Performance comes in at US$53,240 and qualifies for the full US$7,500 tax credit, making it just US$2,250 more expensive than the AWD Model 3 LR. The Model 3 Performance also brings dual motors and AWD to the party, and it has an EPA range of 315 miles. The peculiar pricing of the AWD Model 3 LR seems like it would easily sway buyers to either of the other two models that are close in price. Perhaps that's on purpose, in an effort to avoid the long wait times that previously plagued the Model 3 — we previously reported that Tesla has some of the highest profit margins in the industry, meaning it could potentially reduce the cost of the AWD Model 3 LR if it wanted to maintain high sales.

Before the AWD Model 3 LR was taken off the market in August 2022, it had a rated range of 358 miles, meaning the new variant is down almost 40 miles compared to the old. It's important to note that the range of the newly-re-released AWD Model 3 Long Range has yet to be verified by the EPA, and it's currently just an estimate based on Tesla's internal testing and expectations.

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