Tesla Model – Misryoum reports Tesla is restarting Canada sales of a lower-priced Model 3 variant, reshaped by tariff changes and supply shifts.
A dramatically cheaper Tesla Model 3 is back on the menu in Canada, and it could recalibrate how buyers think about EV pricing.
Misryoum reports that Tesla has introduced a new Model 3 Premium Rear-Wheel Drive option in Canada at a starting price of $39,490 CAD. For many shoppers, that figure represents a major drop from the prior entry-level Model 3 price point in the country.
This move signals more than a simple discount. It reflects how cross-border manufacturing decisions and trade policy can quickly determine what “affordable” looks like at the showroom level.
On the same pricing dial, Misryoum notes Tesla also lowered the price of the Model 3 Performance in Canada, reducing it from $89,000 CAD to $74,990 CAD. In parallel, Tesla is reshaping the supply behind these configurations as it reacts to shifting tariff conditions.
Until recently. Canadian availability for certain Model 3 options had been affected by changes in how Canada applied tariffs to EVs produced outside the country.. Misryoum describes how Tesla previously adjusted what it shipped to Canada as tariffs tightened. including periods where vehicles from Tesla’s Shanghai production were no longer priced as competitively once additional duties were applied.
At the center of this update is a tariff recalculation for EVs made in China, which Misryoum says has been reduced to a much lower rate. With that change in place, Tesla can again ship vehicles from its Giga Shanghai facility into Canada at prices that align with the new Model 3 pricing.
However, pricing does not tell the whole story.. Misryoum adds that the new Model 3 Premium Rear-Wheel Drive option is not currently eligible under Canada’s Electric Vehicle Affordability Program. meaning buyers may not be able to pair the lower sticker price with the program’s incentive.. Meanwhile. the latest incentive rules began recently. but this specific configuration is not covered because it isn’t made in Canada.
Why it matters: when pricing shifts like this are driven by tariffs and manufacturing routes, the biggest impact is felt by consumers’ short-term buying decisions and by the competitive pressure placed on other automakers in the Canadian EV market.