Why it matters: Tesla’s Model Y is the small SUV equivalent to the Model 3. It is intended to be affordable for as many people as possible even though it may carry a somewhat luxurious price tag. It will be the first mass market electric crossover with significant production volume.

Now that Tesla has finally put the Model 3 on sale for the promised price of $35,000, the company is moving on to another model. The Model Y crossover concept is being unveiled at the LA Design Studio on March 14. In addition to the new vehicle, Tesla will also be enabling its third generation Supercharger station later this week.

Model Y is the stripped down and smaller version of a Model X. According to Elon Musk, the Model Y is about 10 percent larger than a Model 3 and will cost around 10 percent more than a Model 3 as well. Due to greater weight, the Model Y will have range slightly lower than the Model 3.

At the March 14 event, Musk has promised that rides in the Model Y will be available, possibly as a referral reward bonus. Since there will be few, if any, restrictions on filming and photography at the event, expect plenty of media to arrive during and after.

Given America’s interest in SUVs, crossovers, trucks, and practically anything that is not a four door sedan, Tesla’s launch of the Model Y is just as critical as the Model 3’s debut.

Based on Musk’s brief mention of pricing, expect the Model Y to start right under $40,000 but be delivered with a median price near or north of $50,000. Production is expected to begin in 2020 but it is unknown what kind of volume will be achieved. As with the Model 3, it could take several months before multiple configurations of the vehicle are truly available.





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