Tesla reduces Model 3 price in Canada to retain EV incentives

Tesla has reduced $1,000 from Model 3 Rear Wheel Drive (RWD) in Canada to retain government incentives for electric vehicle (EV) after new changes in guidelines.

The Tesla Model 3 RWD is now priced at $49,990, the Long Range at $59,990 and the Performance at $69,990. The price is only reduced for RWD and Long Range versions.

The Government of British Columbia recently brought new changes to the CleanBC Go Electric Passenger Vehicle Rebate program. This move will affect Tesla EV incentives eligibility.

Tesla Model 3 Price in Canada as of June 17, 2024 (Source – Tesla)

A memo sent to dealers obtained by DriveTeslaCanada revealed some important information about the new guidelines. The government is amending the vehicle class used for the provincial rebate program. That will shift SUVs and station wagons from larger vehicles to cars category. The government is also reducing the maximum price cap from $55,000 to $50,000 for each car.

This new change impacts the Tesla Model 3 RWD, which was priced at $50,990, a thousand dollars above the new ceiling. This situation will also become complicated for Model Y which is set to lose eligibility.

The changes will come into effect at 11:59 pm PST on June 18, 2024, for new orders. However, the rebate program will transition under the new classification for pending deliveries within 30 days after tomorrow.

It is explained that the new incentive guidelines are in line to ensure rebates for middle-income families. The new $1,000 price cut has again brought the RWD model below the threshold enabling customers to keep claiming EV incentives in Canada.