Used Teslas Create America's Much Needed $25,000 EV Market

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At the same time, hundreds of thousands of buyers can get new EVs at or below the $25,000 price point in China. And its leading EV company, BYD, and smaller competitors are moving into South America, Southeast Asia, and parts of Africa. Tariffs have made selling their $25,000 products in the US and EU markets almost impossible. EVs are crushing GM in China.

If $25,000 is the barrier to EV sales, buyers in the US can turn from $40,000 to $80,000 new electric vehicles to the market for slightly used Teslas. A review of Model 3 Teslas at used car site Carvana shows that many models made from 2021 to 2023 are available at or below the $25,000 barrier. Most have been driven between 20,000 and 60,000 miles.

Software Updates

One advantage of a used Tesla is receiving the same software system upgrades over the air as new Teslas. Endurance Warranty writes, “When considering a used Tesla, ensure it has the latest software installed.”

$25,000 Is Attractive

Used Teslas will be the substitute for new $25,000 EVs, and they are not a bad, temporary replacement. The only other threat may be low-priced gas-powered cars.