Tesla has added a Model 3 Premium All-Wheel Drive (AWD) variant to its Canadian lineup — expanding the lineup to three trims five weeks after discontinuing the mid-priced Long Range.
The new Premium AWD is priced at C$49,990, according to Tesla‘s Canadian website — about C$30,000 below the prior Long Range AWD variant.
The trim carries an EPA-estimated range of 570 kilometers and accelerates from 0 to 100 km/h in 4.4 seconds, with a top speed of 201 km/h.
Tesla does not label the variant as “Long Range” on the configurator, though the range figure and battery specifications are consistent with the nickel-manganese-cobalt chemistry used in Tesla‘s Long Range packs globally.
The addition slots the Premium AWD between the entry-level Premium Rear-Wheel Drive at C$39,490 and the Performance at C$74,990.
The C$10,500 step from the RWD buys a second motor, all-wheel-drive traction and 107 additional kilometers of range.
The C$25,000 gap separating the AWD from the Performance pays for 460 horsepower, a 3.1-second sprint to 100 km/h, adaptive damping, Track Mode, carbon fiber interior trim, ventilated sport seats, forged 20-inch wheels and performance brakes.
Three-Trim Canadian Lineup
The Canadian Model 3 now spans a C$35,500 price difference from the cheapest to the most expensive variant.
The Premium RWD uses a lithium iron phosphate battery pack of approximately 64 kWh and a single rear motor rated at roughly 194 kW.
Tesla lists EPA-estimated range at 463 kilometers, peak DC fast charging at 175 kW and a battery and drive unit warranty of eight years or 160,000 km.
The variant is built at Giga Shanghai and shipped to Canada under the 6.1% most-favored-nation tariff rate established by the quota agreement Prime Minister Mark Carney struck with Beijing in January.
The new Premium AWD uses a dual-motor configuration with what appears to be an NMC Long Range battery, based on the 570-kilometer range and the upgraded 250 kW peak charging speed and 192,000-kilometer battery warranty shown on Tesla‘s spec sheet.
The Performance AWD retains its C$74,990 price, set on May 1 when Tesla cut the trim by roughly 17% from C$89,990.
The variant delivers 505 kilometers of EPA-estimated range, a 3.1-second 0-100 km/h time and a 262 km/h top speed. Tesla builds the Performance at Fremont.
China Pivot and Spec Controversy
The AWD addition comes as Tesla navigates a turbulent relaunch of the Model 3 in Canada.
The move operationalized a supply chain shift Tesla signaled in March, when it pulled US-built Model 3 inventory from its Canadian website and shipped remaining stock back to the United States.
The Shanghai-sourced RWD has since faced sustained criticism from Canadian buyers over a series of specification downgrades that emerged after orders opened.
Tesla initially listed the Premium RWD with a 4.2-second 0-100 km/h time, 250 kW peak DC charging and a battery warranty of 192,000 km.
Within weeks, the company revised the acceleration figure to 5.2 seconds, then again to 6.2 seconds — a cumulative two-second reduction.
Peak charging was cut to 175 kW and the battery warranty distance lowered to 160,000 km.
Tesla did not publicly explain the changes.
The revisions reflect the use of a less powerful 3D7 rear drive unit rated at 194 kW and 340 Nm — down from the 220 kW, 440 Nm 3D6 unit in the previous Fremont-built Model 3 — paired with an LFP battery pack that delivers lower peak discharge rates than NMC cells.
Ahead of the first customer deliveries, Tesla began requiring Canadian buyers to formally accept the downgraded specifications through an “Accept and Proceed With Delivery” prompt displayed in the Tesla account interface.
The company also offered compensation to some customers who flagged the changes.
The first Shanghai-built Model 3 sedans arrived at Canadian delivery centers in late May, with customer deliveries beginning this week.
Quota and Incentive Context
The Shanghai-built Premium RWD does not qualify for Canada’s federal C$5,000 Electric Vehicle Affordability Program rebate, which requires vehicles to be manufactured in a country with which Canada holds a free-trade agreement.
The Performance, built at Fremont, is subject to Canada’s 25% counter-tariff on US-made vehicles.
If the new Premium AWD is sourced from Shanghai, it would similarly be ineligible for the federal rebate but would benefit from the lower 6.1% tariff.
If sourced from Fremont, it would face the 25% tariff but could potentially qualify for the EVAP incentive — a trade-off that would narrow the effective price gap between the two sourcing options.
Tesla has already claimed roughly 12% of Canada’s 49,000-unit Chinese EV quota with its initial Model 3 RWD shipments, moving ahead of Chinese-headquartered automakers including BYD, Chery and Geely that have confirmed Canadian market entry plans for later in 2026.
