2020–2025 Original
The launch generation, the first Tesla with a heat pump, which added an optional third row and became the world's best-selling vehicle in 2023.
The Model Y went into production at Fremont in January 2020 with something no Tesla had used before: a heat pump. Instead of warming the cabin with electric resistance, the system moves heat around the car through a motorized valve Tesla called the Octovalve, two stacked four-way valves turned by a stepper motor, which ties the cabin, battery pack, and drive units into one thermal loop. Analysis published that summer credited it with roughly a 10 percent efficiency gain, and the Model 3 adopted a heat pump for its 2021 model year.
Deliveries started on March 13, 2020. The rear underbody was one Giga Press casting in place of 70 parts, a method Tesla later extended to the front of the car. Late that year Tesla began building the seven-seat option, and the first deliveries came in early December 2020. The $3,000 package added two small third-row seats that fold flat into the cargo floor. In January 2021 Tesla added a Standard Range rear-drive model at $41,990, rated at 244 miles, then pulled it from the configurator the next month. The third-row price later rose to $4,000 before dropping back to $3,000 in April 2023.
Efficiency kept creeping up while production spread to Shanghai, Berlin, and Austin. From October 2022, new Model Ys for North America and Europe lost their ultrasonic parking sensors in favor of cameras. The 2023 Long Range AWD was rated at 330 miles, and that year the Model Y became the first electric vehicle to top the global sales chart. JATO Dynamics counted about 1.23 million sales in calendar 2023, ahead of the Toyota RAV4 at 1.07 million and the Toyota Corolla at 1.01 million.
The last cars of this generation were listed for the 2025 model year: a Long Range RWD at 337 miles, a Long Range AWD 26 miles behind it at 311, and a Performance at 277 miles, down from the 303 miles the Performance carried between 2021 and 2023. The redesigned car that replaced it was unveiled in January 2025.