2023 Tesla Model 3: Same EPA Range, Much Improved Affordability

The effective starting price of the Tesla Model 3 is around $37,000, but for how long?

Tesla Model 3

Mark Kane

By: Mark Kane

Mar 28, 2023 at 5:44pm ET

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The 2023 model year of the Tesla Model 3 in the United States is a carry-over model year, with basically the same specs as in 2022, although the offer is now significantly more attractive.

According to the US Environmental Protection Agency (EPA), the range and efficiency of the 2023 Tesla Model 3 is the same as in 2022. In previous years, the company usually boosted the range by at least a little bit.

There are three main versions of the car in the US:

Tesla Model 3 RWD 18-inch: 272 miles (438 km)
267 miles (430 km) with 19-inch wheels, according to Tesla
Tesla Model 3 Long Range AWD 18-inch: 358 miles (576 km)
334 miles (537 km) with 19-inch wheels, according to Tesla
Tesla Model 3 Performance 20-inch: 315 miles (507 km)

The middle one (Long Range AWD) is not available for order on Tesla's website (although it might appear in the manufacturer's existing inventory). Tesla says that the Long Range AWD version is expected to be "Available in 2023" (ordering was turned off in 2022, due to too high demand at the time).

It's worth noting that the Model 3 RWD is the only rear-wheel drive version and the only one with LFP lithium-ion battery chemistry (prismatic cells from CATL as far as we know).

** Tesla website and EPA website say 272 miles, but the EPA documents actually say 273 miles (just like in the case of the 2022 model year), which might be a recurrent bug. We assumed the lower value.*

In terms of efficiency, the base Tesla Model 3 RWD is rated at 132 MPGe: 255 watt-hours per mile (159 Wh/km), including charging losses. The Long Range AWD version is very similar. However, in the case of the Performance version, the efficiency drops quite noticeably to 113 MPGe: 298 Wh/mi (185 Wh/km).

2023 Tesla Model 3 RWD 18-inch

Combined
City
Highway 272 miles (438 km)
284 miles (457 km)
260.6 miles (419.3 km) EPA Energy consumption (including charging losses): Combined
City
Highway 132 MPGe: 255 Wh/mi (159 Wh/km)
138 MPGe: 244 Wh/mi (152 Wh/km)
126 MPGe: 267 Wh/mi (166 Wh/km)

2023 Tesla Model 3 Long Range AWD 18-inch

2023 Tesla Model 3 Long Range AWD 18-inch :: EPA Range rating by InsideEVs
[Electric Vehicle 5-cycle label] Combined
City
Highway 358 miles (576 km)
367.5 miles (591.3 km)
345.4 miles (555.7 km) EPA Energy consumption (including charging losses): Combined
City
Highway 131 MPGe: 257 Wh/mi (160 Wh/km)
134 MPGe: 251 Wh/mi (156 Wh/km)
126 MPGe: 267 Wh/mi (166 Wh/km)

2023 Tesla Model 3 Perf. LR AWD 20-inch

2023 Tesla Model 3 Perf. LR AWD 20-inch :: EPA Range rating by InsideEVs
[Electric Vehicle 5-cycle label] Combined
City
Highway 315 miles (507 km)
328.7 miles (528.9 km)
299 miles (481.1 km) EPA Energy consumption (including charging losses): Combined
City
Highway 113 MPGe: 298 Wh/mi (185 Wh/km)
118 MPGe: 286 Wh/mi (177 Wh/km)
107 MPGe: 315 Wh/mi (196 Wh/km)

Tesla does not reveal details such as battery capacity, so we assume just a very rough number like 60 or 80 kilowatt-hours (kWh), ± a few kWh, just to get an idea.

Prices

Prices of the Tesla cars were significantly reduced in January 2023 (and were tweaked a few times later - here, here, here and here) and are the most important factor this year, especially because the reduction was amplified by the eligibility for the $7,500 federal tax credit (Model 3 below $55,000 and Model Y below $80,000).

As we can see below, the entry-level 2023 Tesla Model 3 RWD starts at $42,990 (plus $1,640 of additional, obligatory costs), which including the $7,500 incentive, is effectively $37,130, before state incentives. About a year ago, Tesla asked for some $46,000 and there was no eligibility for the federal tax credit.

However, it's expected that the Tesla Model 3 RWD soon will not be eligible for the full federal tax credit, beginning April 1, 2023, because its LFP batteries are imported from China, instead of locally produced. It would then be far less competitive, compared to the Long Range version.

The Model 3 Long Range AWD (from existing inventory) starts probably at around $50,000, while the top-of-the-line Performance version starts at effectively $48,130.

Model Base Price Dest. Charge Tax Credit Effective Price 2023 Tesla Model 3 RWD 18-inch $42,990 +$1,640 $7,500 $37,130 2023 Tesla Model 3 RWD 19-inch $44,490 +$1,640 $7,500 $38,630 2023 Tesla Model 3 Long Range AWD 18-inch 2023 Tesla Model 3 Long Range AWD 19-inch 2023 Tesla Model 3 Perf. LR AWD 20-inch $53,990 +$1,640 $7,500 $48,130

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* Tesla adds a Destination fee (DST) of $1,390 and an Order Fee of $250 to all its models ($1,640 total).

Basic specs

Model Drive Battery
(kWh) EPA
Range 0-60
mph
(sec) Top
Speed 2023 Tesla Model 3 RWD 18-inch RWD 60* 272 mi
(438 km) 5.8 140 mph
(225 km/h) 2023 Tesla Model 3 RWD 19-inch RWD 60* 267 mi**
(430 km) 5.8 140 mph
(225 km/h) 2023 Tesla Model 3 Long Range AWD 18-inch AWD 80* 358 mi
(576 km) 4.2 145 mph
(233 km/h) 2023 Tesla Model 3 Long Range AWD 19-inch AWD 80* 334 mi**
(537 km) 4.2 145 mph
(233 km/h) 2023 Tesla Model 3 Perf. LR AWD 20-inch AWD 80* 315 mi
(507 km) 3.1 162 mph
(261 km/h)

* estimated/unofficial/rough values, ** EPA range according to Tesla website