Hyperdrive

Tesla Goes After America’s Top-Selling SUVs

Elon Musk’s price war means the Model Y can now be purchased for less than the average new vehicle in the US.

Frost on the badge of a Tesla Model Y electric vehicle.

Photographer: Liesa Johannssen/Bloomberg
Lock
This article is for subscribers only.

This much is clear from Tesla Inc.’s fifth price cut this year: Elon Musk is dead set on seizing much more of America’s SUV market.

Tesla’s Model Y already became one of the three best-selling sport utility vehicles in the US last year. That was remarkable considering the starting price of the Model Y was more than double the Toyota RAV4 and Honda CR-V, the market’s perennial favorites.