Rahul Somvanshi
Tesla has officially released its new Model Y Performance in the United States, strategically launching the vehicle on September 30, 2025, just hours before the expiration of the federal $7,500 electric vehicle tax credit. The updated performance-focused SUV starts at $57,490 before incentives.
For buyers who placed orders before the midnight deadline, the tax credit reduces the effective price to $49,990. According to Tesla VP Raj Jegannathan, customers placing orders now “will be given an option to finance when it’s closer for delivery,” offering added flexibility for buyers.
The refreshed Model Y Performance brings significant upgrades over its predecessor. It accelerates from 0 to 60 mph in just 3.3 seconds, reaches a top speed of 155 mph, and offers an EPA-estimated range of 308 miles – a substantial improvement from the 277 miles of the previous model.
Visually, the Performance version features redesigned front and rear bumpers, a carbon fiber rear spoiler, and exclusive 21-inch Arachnid wheels with staggered fitment (wider tires at the rear for improved grip). While these changes enhance the vehicle’s aerodynamics – reducing drag by 10% – the exterior styling remains relatively understated compared to the standard Model Y.
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Inside, the cabin gets a larger 16-inch high-resolution touchscreen display and sport seats with additional bolstering for better support during cornering. The seats include heating, ventilation, and power-adjustable thigh extenders for improved comfort on long drives. Tesla has also added sound-dampening materials and acoustic glass to create a quieter interior environment.
The Performance model’s suspension has been enhanced with adaptive damping that continuously adjusts to road conditions. Combined with the staggered wheel setup and improved aerodynamics, these changes aim to deliver better handling without sacrificing ride comfort for daily use.
This US release follows the European launch that began in late August. The Performance version completes Tesla’s refreshed Model Y lineup, which is codenamed “Juniper” internally. Early buyers receive additional perks, including free paint and interior color options that would typically cost extra.
Tesla’s timing of the launch just before the tax credit expiration appears calculated to drive a surge of orders, as the eligibility for the $7,500 subsidy is based on the order date rather than delivery date. Deliveries of the new Model Y Performance in the US are expected to begin in December 2025.
