Tesla has launched the Model 3 Standard Rear-Wheel Drive (RWD) in Korea, its cheapest electric vehicle to date in the market, positioning the U.S. automaker below domestic competitors Kia and Hyundai on price.
The Model 3 Standard RWD is priced from 41.99 million won, equivalent to $28,490.
When adding the country’s both national and local EV incentives, the sedan becomes cheaper than both South Korean automakers’ Hyundai‘s Ioniq 5 Standard ‘E-Value Plus’ and Kia‘s EV5.
At the start of this year, South Korea mandated a new national subsidy of 1.6 million won ($1,090) for consumers opting for EVs, which are also eligible for local supports, such as the capital of Seoul.
The launch of the cheaper variant follows the significant price cuts to the Model Y and Model 3 Performance models in the South Korean market last month, with reductions amounting to 9.4 million won – equivalent to $6,380.
The new Standard variants, first launched last year in select markets, allow Tesla to dispute a lower market segment.
Pricing Comparison
Currently available at 41.99 million won, the Model 3 Standard RWD is subject to a 1.68 million won national subsidy and Seoul’s local one, falling to the 30 million won range.
On the other hand, the Hyundai Ioniq 5 Standard ‘E-Value Plus’ version is priced at 47.4 million won ($32,160), marking a 5.41 million won – or $3,670 – difference with the Model 3 Standard RWD.
Combined with its 4.83 million national subsidy and local support, the Korean brand’s entry-level electric SUV can be purchased in the high 30 million won range.
The Kia EV5 starts at 48.55 million won ($32,940 million) – 6.56 million won ($4,450) more expensive compared to Tesla‘s entry-level sedan.
However, the Model 3 Standard RWD is slightly undercut by the Seoul-based automaker’s EV4 model, which is available from 40.42 million won – equivalent to $27,420.
The Hyundai Ioniq 5 Standard ‘E-Value Plus’ version is priced at 47.4 million won ($32,160), marking a 5.41 million won – or $3, 670 – difference with the Model 3 Standard RWD.
Unlike Tesla, both Kia and Hyundai did not publish discounted promotions at the end of last year.
Meanwhile, the Elon Musk-led company’s Model 3 Premium Long Range RWD trim, which is now sold for 52.99 million won ($35,950) in South Korea, is covered by a central government support of 4.2 million won – equivalent to $2,850.
Model 3 Standard RWD Specs
Produced at Tesla‘s Shanghai Gigafactory, the Model 3 Standard RWD measures 4,720 mm in length, 1,850 mm in width, 1,440 mm in height, and 2,875 mm in wheelbase.
The Model 3 Standard RWD is equipped with a 62.1 kWh battery pack, providing a driving range of up to 382 km – equivalent to 237 miles –, under South Korean certification standards.
Powered by rear-wheel drive, the model accelerates from 0 to 100 km/h in 6.2 seconds.
Tesla 2025 Sales
According to data released by the Korea Automobile Importers and Distributors Association (KAIDA), Tesla sold 4,322 vehicles last month, achieving a market share of 15.11%.
Although December 2025 figures dropped 43.4% month-on-month, they increased 245.2% compared to the same month in 2024, with 1,252 units.
For the full 2025 year, Tesla listed a total of 59,916 vehicles, up 101.4% year-over-year from 29,750 units in 2024.
Last year, the EV maker represented 19.49% of the South Korean automotive market.
