No longer a sub-$60,000 electric car! 2022 Tesla Model 3's starting price rises but features stay the same as new EVs - including Polestar 2 - enter the fold

Tesla Australia has bid farewell to the $59,900 (plus on-road costs) Model 3, with the starting price of the all-electric mid-size sedan having increased by four figures.

The Model 3's unnamed entry-level variant is now $1000 dearer, at $60,900, with Tesla Australia providing no explanation for the pricing increase. For reference, its mid-spec Long Range and flagship Performance versions are still priced from $73,200 and $86,629, respectively.

Of note, the unnamed entry-level variant’s standard equipment is the same as before, so the price rise was likely caused by the significant supply-chain issues currently facing the automotive industry and many others.

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Tesla’s Model 3 troubles didn’t start until late 2021, when the Shanghai factory that supplies the Polestar 2 (from $59,900) rival to Australia quietly removed one of the two electronic control units (ECUs) included in the steering racks of some examples, according to a CNBC report published last month.

The US media outlet said the second ECU was considered redundant – hence it’s removal – but it did have a role to play in the future, when Tesla releases its long-promised Level 3 autonomous driving functionality for the Model 3 via an over-the-air update.

If the next generation of so-called Full Self-Driving does eventuate, it’s unknown if affected Model 3 owners will be able to have an extra ECU installed in the steering rack for free. Either way, the process to go from Level 2 to Level 3 won’t be easy as for them as promised.

As reported, Model 3 delivery wait times in Australia were as short as one to three weeks last October but jumped to two to five weeks and then eight to 12 weeks in November, before settling in at 14 to 20 weeks in December. Last month, they rose to five to seven months.

Despite the obvious challenges, the Model 3 was still Australia’s most popular all-electric vehicle in 2021, with its 12,094 sales putting it ahead of established internal-combustion engine (ICE) models like Toyota Kluger, Isuzu MU-X and Kia Seltos.

2022 Tesla Model 3 pricing before on-road costs