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- Tesla launched a more affordable Model 3 Rear-Wheel Drive in Australia.
- The new entry-level variant starts at AUD$45,900 before on-road costs.
- It delivers up to 572 km of WLTP estimated range.
- The electric sedan accelerates from 0 to 100 km/h in 6.2 seconds.
- First customer deliveries will commence in Australia from mid-October 2026.
With competition for cut-price EVs at an all-time high in the local market, even the market leaders have had to think twice about their price strategy. The cheapest car money can buy in Australia is the BYD Atto 1 Essential, and this race to the bottom has prompted every brand, including Tesla, to adjust its local strategy. The American brand that manufactures its local EVs in China has officially introduced the new Model 3 Rear-Wheel Drive to the Australian and New Zealand markets, priced from AUD$45,900 before on-road costs. This new model lowers the barrier to entry while retaining the core safety, software, and driving dynamics that have defined the vehicle.
The AUD$45,900 (NZD$54,900) before on-road costs price makes the new Rear-Wheel Drive variant the most affordable way to put a Tesla in the driveway. As Thom Drew, Country Director for Australia and New Zealand, noted: “Model 3 Rear-Wheel Drive is the most affordable way for Australians and New Zealanders to own a Tesla, and the most accessible way to experience Full Self-Driving (Supervised).” It also serves as the cheapest entry point to experience the brand’s autonomous capabilities via a monthly subscription of AUD$149 or NZD$159. The configurator is now live, with the first customer deliveries scheduled to commence from mid-October in Australia and late November in New Zealand.
This aggressive pricing strategy positions the Model 3 Rear-Wheel Drive directly against a growing wave of Chinese competitors, notably the BYD Seal (approx. AUD$48,762 drive-away) and the Zeekr X (approx. AUD$48,900 drive-away). However, rather than stripping the vehicle back to bare bones, Tesla has maintained the silhouette, the standard panoramic glass roof, and access to the expansive Supercharger network. “Customers get the Model 3 they know… at a price point that makes Tesla ownership a straightforward decision,” Drew added. It represents a highly competitive value proposition for buyers looking to avoid fuel-price volatility, but will it do enough to fill the gap in a local market that prioritises SUVs?
| Model 3 Rear-Wheel Drive Specification | |
| Drivetrain | Single Motor Rear-Wheel Drive |
| Range (WLTP) | Up to 572 km |
| Acceleration (0-100 km/h) | 6.2 seconds |
| Boot Capacity | 682 litres (Combined boot and frunk) |
| Starting Price | A$45,900 (before on-road costs) |
1/7Interior Technology and Comfort
From the inside, the new entry-level Model 3 delivers the same familiar, minimalist cabin layout that we’ve heralded for years, trimmed with flat-woven textile and vegan leather.
The front seats are heated and electrically adjustable, complemented by a standard heated steering wheel, a highly efficient heat pump, front wireless phone charging, and footwell ambient lighting. Driver preferences are tied to individual phone key profiles to instantly recall memory settings, which integrates with Tesla’s Phone-first access, allowing the app to act as your key for hands-free unlock, charging schedules, and cabin pre-conditioning. While the rear passenger touchscreen seen on Premium models has been omitted from this specification, the rear cabin remains practical with dedicated air vents and two USB-C ports (joining a third USB-C port located in the front console).
Entertainment and vehicle controls are handled by a standard 16-inch first-row touchscreen, which houses native streaming apps like Apple Music and Spotify, as well as Netflix and YouTube for use while parked. You’ll also find a seven-speaker Tesla Audio system, which is a step down from the nine-speaker setup found in the Premium Rear-Wheel Drive and the immersive 17-speaker system equipped in the Long-Range and Performance variants.
One standout addition we haven’t had a chance to use yet is Tesla’s Grok AI assistant, developed with xAI, that allows drivers to interact with the vehicle using natural-language commands. Rounding out the cabin experience is Pet Mode, which keeps the interior climate-controlled for animals while displaying a clear, reassuring message on the screen for passers-by.
1/8Exterior Design and Styling
On the outside, the base Model 3 Rear-Wheel Drive shares the same updated aerodynamic design language as the Premium trims. It retains the flush door handles, Matrix LED headlights, power-folding side mirrors, and rides on 18-inch Prismata wheels. You still get plenty of practical hardware like a hands-free powered tailgate and a front bumper camera to assist with 360-degree parking.
That exterior hardware is tied to a 5-Star ANCAP safety rating as standard. The vehicle’s active safety suite includes Automatic Emergency Braking, Forward Collision Warning, blind-spot monitoring, and a live blind-spot camera feed that displays on the central touchscreen the moment the indicator is selected. When parked, the eight-camera vision system also powers Sentry Mode to provide continuous security monitoring.
One of our favourite Tesla features is Power Share, which allows owners to use the vehicle’s battery to run external devices, space heaters, or power tools via a separately sold Tesla Outlet Adapter.
Tesla will offer the Model 3 Rear-Wheel Drive in Pearl White multi-coat as standard, with Diamond Black (AUD$1,500) and Stealth Grey (AUD$1,900) available as premium paint options.
Price and Availability
The Tesla Model 3 Rear-Wheel Drive is available to configure from today, October 1, 2026. Pricing starts at AUD$45,900 in Australia and NZD$54,900 in New Zealand, excluding on-road costs.
This new variant joins the existing Model 3 Premium Rear-Wheel Drive (from AUD$54,900), the Premium Long-Range Rear-Wheel Drive (from AUD$61,900), and the Performance All-Wheel Drive (from AUD$80,900).
Customers can view the vehicle in showrooms and arrange test drives from mid-to-late October 2026, with the first local deliveries expected to commence during the same period. Every Model 3 is backed by a 5-year or unlimited-kilometre Basic Vehicle Limited Warranty, alongside an 8-year or 160,000 km warranty for the Battery and Drive Unit, which guarantees a minimum 70 per cent retention of battery capacity over the warranty period.
The new entry-level Tesla Model 3 Rear-Wheel Drive is priced from AUD$45,900 before on-road costs.
The Model 3 Rear-Wheel Drive offers an estimated range of up to 572 km on the WLTP testing cycle.
No, the rear passenger touchscreen found in higher-end models has been omitted from this entry-level variant, though the rear cabin still features air vents and two USB-C ports.
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