FSD Beta Coming to Europe, Base Model 3 & Y Price Increase, Model 3 AWD Long Range Returns and More Automatic Emergency Braking Improvements

FSD Beta May Soon Be Coming to Europe 

The European Commission is prioritizing the United Nations Economic Commission for Europe (UNECE) Regulation on Driver Control Assistance Systems (DCAS), which could accelerate the arrival of Tesla's Full Self-Driving (FSD) Beta in Europe. The final draft for the DCAS was initially scheduled to be completed by 2024, with approval for FSD potentially coming in January 2025. However, the European Commission aims to complete the regulation this year, and the final draft is expected to be ready as early as September 2023. This change in priority means that FSD Beta could become available in Europe by January 2024 at the earliest and by the summer of 2024 at the latest. The European Commission plans to separate hands-on (Phase 1) from hands-off (Phase 2) functionalities to speed up the process. However, unexpected delays could still occur, and the accelerated timeline is not a guarantee that Tesla will roll out FSD Beta across Europe at that time. Nonetheless, this development signifies a significant step forward for Tesla's FSD technology in Europe and potentially a faster rollout for European drivers.


Base Model 3 & Y Receive Small Price Increase  

Tesla has adjusted its pricing strategy once again, but this time increasing the prices of its base Model 3 and Model Y vehicles in Canada, China, Japan, and the United States by roughly $250. The automaker has adopted a flexible pricing approach to balance sales volume with margin sacrifices, raising prices where necessary to align vehicle deliveries with production output better. Despite the recent price increases, the rear-wheel-drive Model 3 remains around 14% cheaper in the US than it was at the beginning of the year, and the standard-range version of the Model Y is approximately 24% less expensive in Tesla's largest market. These price adjustments reflect Tesla's evolving pricing strategy as it aims to prioritize sales growth while pursuing long-term profitability through its autonomous software.


Model 3 AWD Long Range Returns to the Lineup  

Tesla has reopened orders for its highly sought-after Model 3 Long Range AWD in the U.S. after removing it from the lineup last year due to long waitlists for production. The car is now available for purchase at $47,240, qualifying for a federal tax incentive of $3,750, bringing the final price to $43,490. Specs for the car have changed slightly, with an estimated range of 325+ miles, top speed of 145 mph, and acceleration time of 4.2 seconds. The return of the Model 3 Long Range AWD has sparked speculation about potential changes in the vehicle's battery chemistry, with some believing that the car may now be equipped with LFP batteries produced in China. However, the vehicle's weight remains unchanged, leaving the battery chemistry unconfirmed at the moment. Deliveries are expected to begin in June 2023, and there are no significant exterior changes from the previous version.


More Automatic Emergency Braking (AEB) Improvements

Tesla has announced improvements to its Automatic Emergency Braking (AEB) system in its latest software update, version 2023.12. The updated owner's manual states that AEB now works in reverse and at speeds of up to 124 mph (200 km/h), compared to the previous maximum speed of 90 mph (150 km/h). The system can also now detect objects at a greater distance and reduce the severity of impact in unavoidable collisions. These changes are in addition to the ones mentioned in the Impact Report that included the system recognizing perpendicular threats, which we discussed last week. AEB is always enabled when starting the vehicle, but can be disabled for the current drive if required. The enhancements made to Tesla's AEB system are anticipated to enhance safety for both drivers and pedestrians. By incorporating the feature to function in reverse and at faster speeds, Tesla is continuing to advance the limits of automotive technology and safety.

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