Why Tesla's New Battery Options for Model 3 and Model Y are a Game-Changer
In a groundbreaking move, Tesla now allows buyers of its Model 3 and Model Y Long Range variants to choose their battery supplier, a decision that could set a new standard in the electric vehicle (EV) industry. This approach aligns perfectly with Tesla's continuous innovation mantra and gives customers a new level of control over their purchase.
Eligible vs Non-Eligible Customers
To make an informed choice, customers need to understand the implications of being eligible or non-eligible for the Federal EV Tax Credit. Tesla's new offering divides the models between those that qualify for the $7,500 tax credit and those that don't. The key difference? The origin and manufacturer of the battery cells.
If you claim that you are eligible for the tax credit, Tesla will assign you a Vehicle Identification Number (VIN) that corresponds to a car with battery cells made in North America. These vehicles qualify for the Federal Tax Credit, giving customers significant savings. On the other hand, if you're not eligible or choose not to opt for the tax credit, your VIN will be tied to a vehicle with an imported battery, which doesn't qualify for the credit but may still be eligible for state or local rebates.
Panasonic vs LG Batteries
The choice between Panasonic and LG batteries boils down to performance and manufacturing origin. Vehicles eligible for the tax credit will feature Panasonic batteries, which are produced domestically. Conversely, non-eligible vehicles will come equipped with LG batteries. Both types are non-LFP, 2170 cells, but there's a noticeable difference in performance.
Panasonic batteries, produced in the U.S., generally offer better performance metrics such as charging speed at Level 3 chargers, including Tesla's Superchargers. Meanwhile, LG batteries have been known to lag slightly in this aspect. Hence, even if you're not planning on claiming the tax rebate, opting for the Panasonic battery could prove beneficial due to its superior charging efficiency.
Additionally, the Performance variants of the Model 3 and Model Y also come fitted with Panasonic batteries, reinforcing the brand's push for high performance and reliability. In comparison, the Rear-Wheel Drive variants equipped with LFP packs tend to charge faster than those with LG batteries.
Strategic Choices and Future Proofing
Choosing a vehicle with Panasonic batteries aligns with future-proofing your purchase. Circumstances can change, and having a car that qualifies for the tax rebate keeps options open for potentially claiming the rebate later in the year.
Tesla's offering also invites speculation about future discounts for models equipped with LG batteries. Currently, both variants cost the same, making the Panasonic-equipped model a more sensible choice. However, keeping an eye on potential price adjustments could prove advantageous for cost-conscious buyers.
The Bigger Picture
This strategic differentiation can potentially lead Tesla into a new era of customizable EV offerings. Allowing customers to select their battery supplier based on regional, performance, and financial considerations elevates the buying experience and sets a new benchmark in the automotive industry. This not only enhances customer trust and satisfaction but also exemplifies Tesla’s commitment to innovation and consumer-focused solutions.
Below, you'll find a video showcasing the differences in charging speeds between the battery packs, giving you a practical understanding of these variations.
Conclusion
Tesla's latest move to offer a choice between Panasonic and LG batteries in its Model 3 and Model Y Long Range variants brings significant changes to the EV market. This decision provides transparency and empowers customers to make purchases that best suit their performance needs and financial situations. Whether you value faster charging speeds and future rebate potential or are looking for the best deal on long-range transport, Tesla's new strategy has something for everyone.