Model Y drops to $64,990 in Canada, matching pre-tariff pricing from early 2025 levels.
Likely shift to Giga Berlin imports avoids 100% tariffs on Chinese-made electric vehicles.
2025 update adds rear display, Diamond Black paint, and maintains 526 km maximum range.
Tesla has lowered the price of the Model Y Long Range all-wheel drive in Canada by a staggering $20,000, bringing the starting cost down to $64,990. The adjustment returns pricing to levels last seen before Canada introduced 100% tariffs on electric vehicles manufactured in China.
2025 Tesla Model Y | Photo: TeslaThe updated pricing went live on Thursday on Tesla’s Canadian online configurator, suggesting the automaker is sourcing the Model Y from its factory in Germany. The Giga Berlin plant exclusively builds the Model Y, making it a probable supply point now that Canadian tariffs have effectively blocked imports from Tesla’s Giga Shanghai.
Another potential factor could be the significant, if not catastrophic, decline in deliveries in the country, led by the province of Quebec. In the first quarter alone, registrations dropped 90% in the most EV-friendly province in the country. Overall, registrations fell 67% in Canada in the first half of 2025.
Other Tesla models in Canada have not received similar reductions, with prices remaining elevated under the current tariff regime. This supports the likelihood that only the Model Y is being imported from Europe.
New 2025 Tesla Model Y Launch Series Arrive in March at $84,990
According to Tesla’s Design Studio, new orders are expected to arrive between September and October. The longer delivery window compared to typical shipments from the United States aligns with timelines for transatlantic transport.
As a reminder, the Model Y was recently updated for the 2025 model year. The sole trim offered, the Long Range AWD, continues to offer up to 526 kilometres of estimated range on a full charge when equipped with standard 19-inch Crossflow wheels, based on Natural Resources Canada figures. Opting for the 20-inch Helix 2.0 wheels reduces the range to 488 kilometres.
Interior updates include a new 8-inch rear display positioned behind the centre console, supplementing the 15.4-inch front touchscreen. Canadian buyers also now have access to the Diamond Black paint option for $2,000, previously limited to the U.S. market.
Canada’s tariffs on Chinese-built EVs, imposed last year, have forced some automakers to reassess supply chains.
