Tesla has finally taken the wraps off the long-promised affordable versions of its flagship cars — the Model 3 Standard and Model Y Standard. But while customers may be excited by lower prices, the unveiling has left investors wondering if the move is bold enough to counter fierce competition.

The new Model 3 Standard will start at $38,630 (including destination and order fees) and will be available by December or January. The Model Y Standard is priced at $41,630 and will roll out between November and December. Both trims are significantly cheaper — $5,500 and $5,000 less, respectively — compared to their “Premium” counterparts.

The announcement came not through a traditional auto show, but on Elon Musk’s own platform, X, adding his usual flair to Tesla’s global communication strategy.

A stripped-down Tesla experience

While the price drop will appeal to budget-conscious buyers, Tesla made some compromises. According to the company’s official site, the Standard trims will have:

• 
  No eight-inch second-row touchscreen
• Only seven speakers (instead of 15 with a subwoofer)
• A cloth interior instead of the cloth and “microsuede” blend
• Passive shock absorbers instead of “frequency dependent” versions
• Slower 0–60 mph acceleration

Still, the Standard versions offer slightly longer range than the high-performance models, ensuring practicality for everyday use.

Timing, market dynamics, and investor jitters

Tesla’s timing isn’t coincidental. The launch follows the expiration of the $7,500 federal tax credit for many EV buyers in the United States. The company had posted record sales in Q3, largely from buyers rushing to beat the deadline. Yet, after Tuesday’s unveiling, Tesla shares (NASDAQ: TSLA) dropped 4%, reflecting market skepticism.

During an April investor call, CFO Vaibhav Taneja reassured stakeholders that the lower-cost models were coming in 2025. “We started production in the first half of 2025 as planned… but the ramp will be slower than initially expected,” he said.

Pressure from rivals

Tesla may have been the pioneer of modern EVs, but the landscape has changed dramatically. Chinese automaker BYD is on track to overtake Tesla as the world’s largest EV seller when full-year figures are released in January. Meanwhile, Hyundai recently announced EVs priced nearly $9,800 cheaper than older models, intensifying competition in the mid-range segment.

Tesla’s latest move could be an attempt to address excess factory capacity in the U.S., where domestic sales make up nearly half of its global revenue. However, the EV giant faces a delicate balancing act — cutting prices enough to attract buyers without hurting margins in an increasingly competitive field.

Beyond cars: politics and protests

Adding to the headwinds, Tesla has been facing political backlash. Protests and vandalism have been reported at dealerships in both the U.S. and Europe over Elon Musk’s past ties to the Donald Trump administration and his vocal support for certain right-wing figures. Musk later distanced himself from Trump, but that pivot seems to have alienated some conservatives who once admired the company.

Trump himself, before their split, had publicly urged Americans to “go buy Tesla cars.” Today, the optics are more complicated, as Tesla navigates both consumer markets and political minefields.

The road ahead

For now, Tesla’s Standard models offer a cheaper entry point for new buyers, but the real question remains — will it be enough to retain dominance in a market where affordability and innovation go hand in hand? With rivals like BYD and Hyundai gaining ground, the pressure is on Elon Musk to prove that Tesla can still set the pace for the EV industry.
For more Update http://www.dailyglobaldiary.com

For Tesla and its high-profile CEO Elon Musk, the third quarter of 2025 delivered both a record and a warning. The electric vehicle giant sold 497,099 cars worldwide from July through September, the highest quarterly tally in its history. That surge briefly pushed Musk’s fortune above $500 billion, according to Forbes’ billionaire tracker, making him the first person to ever cross that threshold.

But just as quickly as Tesla stock spiked, the gains began to slip. By Thursday afternoon, Tesla’s shares had dropped nearly 4%, pulling Musk’s net worth back down to $490 billion.

The tax credit rush

The record quarter was driven by a last-minute rush from American buyers before a $7,500 federal EV tax credit expired on September 30. The incentive, introduced under the Biden administration in 2022, was eliminated as part of Donald Trump’s sweeping spending and tax bill earlier this year.

That policy change sparked a short-term boom — but experts warn it could lead to a slump in coming months. Despite the blockbuster quarter, Tesla’s overall year-to-date sales remain 6% lower compared to 2024.

Rivals close in

Tesla wasn’t the only automaker enjoying the tax-credit frenzy. General Motors more than doubled its US EV sales in the same quarter, while Ford reported a 30% jump. Hyundai also doubled its US EV sales, even as it cut prices on its IONIQ 5 by more than $9,000 to stay competitive.

And outside America, Tesla’s biggest threat may come from BYD. The Chinese automaker reported a 31% year-over-year surge in sales, bringing its total EV passenger cars sold in 2025 to 1.6 million, compared to Tesla’s 1.2 million. Despite not selling in the US, BYD is now on track to overtake Tesla as the world’s largest EV maker.

Market share pressures

Tesla’s dominance is no longer assured. Registration data shows the company continues to lose global market share to rivals. While loyal fans still associate Tesla with innovation, some buyers have been turned off by Musk’s outspoken political activity, which has triggered protests in both the US and Europe.

Meanwhile, Chinese automakers like BYD are capturing more of the European EV market, eroding Tesla’s stronghold. And with automakers such as GM, Ford, and Hyundai slashing prices, Tesla faces the pressure of a rapidly commoditizing EV industry.

What’s next?

The third quarter record may end up being a fleeting high point. Analysts say Tesla’s next big challenge will be proving it can sustain growth without the tailwind of government subsidies and while fighting intensifying competition across every major market.
For more Update http://www.dailyglobaldiary.com

British drivers may soon face a radical shift in road taxation, with proposals suggesting that car owners will be charged based on vehicle weight rather than emissions. The plan, set out by the influential Resolution Foundation, could affect millions of motorists—whether they drive petrol, diesel, or electric cars.

Why change the system?

Currently, the UK’s Vehicle Excise Duty (VED) is largely calculated on tailpipe emissions. This means electric vehicles (EVs), which produce zero CO₂ on the road, have often avoided paying road tax altogether. But as EV adoption accelerates, the Treasury is losing billions in revenue once generated from combustion cars.

With EVs projected to dominate new sales in the next decade, policymakers are under pressure to find a sustainable replacement.

The weight-based proposal

The Resolution Foundation suggests a “pay-per-mile” system that scales with a car’s weight. Under the model:

• 
  A lightweight EV weighing 1,000kg would pay about 3p per mile.
• A mid-sized EV weighing 1,800kg would pay 6p per mile.
• A large SUV or heavy EV above 2,800kg could face up to 9p per mile.

The idea is to link road charges directly to the impact cars have on infrastructure and the environment—heavier vehicles cause more road wear, produce greater tyre and brake pollution, and pose higher risks to pedestrians.

Not just EVs

Importantly, the proposed system would not single out EVs. Traditional petrol and diesel vehicles could also see their flat £195 VED replaced with weight-tiered charges, making it a universal system for all drivers.

Global precedents

Weight-based taxation is not a new idea. Countries like the Netherlands, Estonia, and even New South Wales, Australia, already have similar frameworks in place. Advocates say these systems have improved fairness while discouraging oversized cars.

Government response

The UK Treasury has already signaled its intent to reform motoring taxes, introducing VED for EVs in 2025 and investing over £2 billion to boost greener transport. A spokesperson said policymakers are balancing the need for revenue with incentives for low-emission travel.

Industry experts believe the changes could reshape car-buying behavior. Families may think twice before purchasing bulky SUVs, while manufacturers could feel pressure to design lighter, more efficient EVs.

A fundamental shift

For drivers, the impact could be significant. Someone covering 10,000 miles annually in a heavy EV could face £900 in extra charges. For large SUV owners, this could be even higher.

Critics argue the timing is delicate—just as the UK is trying to encourage EV adoption, heavier taxes may discourage buyers. Supporters counter that fairness and sustainability should guide future policy.

Either way, the shift from emissions-based to weight-based taxation would mark one of the most dramatic changes in UK road policy in decades—and every driver will feel it.
For more Update http://www.dailyglobaldiary.com