Tesla introduces cheaper variant of Model Y SUV

Tesla Inc introduced a cheaper variant of the Model Y, bringing its sports utility vehicle’s price closer to that of its Model 3 sedan, the electric automaker’s least expensive car.

The new standard range Model Y is priced at $41,990, about $4,000 more than the entry-level Model 3, according to the automaker’s website.

Shares of the automaker, which have surged more than 700% in 2020, were up almost 5% at $853.89 in trading before the bell on Friday, at the time of this report.

Such a rise in shares has helped CEO Elon Musk to surpass Amazon.com Inc’s founder Jeff Bezos to become the world’s richest man this year.

Tesla’s new Model Y variants come days after the automaker beat Wall Street targets for 2020 vehicle deliveries, driven by a steady increase in electric vehicle adoption, but narrowly missed its ambitious full-year target of half a million deliveries.