Tesla has released budget versions of its most popular electric cars Model Y and Model 3
Source: Tesla

The American electric car manufacturer Tesla on Tuesday, October 7, introduced cheaper versions of the Model Y and Model 3. The Y Standard will cost $39,990, and the 3 Standard - $36,990, according to the company's website.

These are the company's most affordable electric cars to date, although they are far from the $25,000 promised by Elon Musk, according to Business Insider .

Savings compared to premium versions range from $5,000 to $5,500.

To reduce the price, Tesla removed a number of features. The budget versions do not have Autopilot, heated seats, a touchscreen for rear passengers, adaptive headlights, and FM/AM radio. The Model Y Standard's range is also 10% shorter than the premium version .

First deliveries are expected in November-December.

The decision to launch cheaper models is due to a drop in demand after the abolition of the $7,500 state (federal) tax credit for electric vehicles. At the same time, the third quarter was a record-breaking one for Tesla, as consumers rushed to buy cars before the tax breaks were canceled.

Tesla shares fell by 4.45% after the announcement, as investors seemed to expect lower prices, BI points out.