2023 Ford Mustang Mach-E Vs. Tesla Model Y: Are They Competitive?

As electrification progresses, there are more and more all-electric models on the market, each of which usually also has multiple versions or trim levels. This is a good thing but makes the comparison between the cars more complex – especially if the prices change frequently.

Today we will take a look at the two most popular all-electric crossover/SUV models in the United States – Tesla Model Y and Ford Mustang Mach-E, comparing the main elements of the offer (like price, range, etc.) as the foundation for future research.

The Ford Mustang Mach-E just recently received a price update, as well as a new LFP battery version, while in the case of Tesla, prices change almost weekly.

Prices

Let’s start with the prices. The Ford Mustang Mach-E’s price range (MSRP) is between $42,995 and $64,995, which after a $1,800 destination charge and deducting the $3,750 federal tax credit, is effectively $41,045-$63,045.

The Tesla Model Y starts at $47,240 and goes up to $54,240. Once we add the obligatory costs ($1,640) and deduct the $7,500 federal tax credit, the effective prices vary between $41,380 and $48,380.

Pricing appears to be the advantage of Tesla over Ford, except for the entry-level rear-wheel drive Mustang Mach-E, but let’s note that all Model Y are all-wheel drive.

* Tesla adds a Destination fee (DST) of $1,390 and an Order Fee of $250 to all its models ($1,640 total).

Basic specs

All Tesla Model Y versions currently available are all-wheel drive, while Ford offers a mix of rear- and all-wheel drive versions.

It’s difficult to compare the battery capacity of the two models because Tesla does not report the capacity, while Ford reports only the usable capacity (currently 72 kilowatt-hours in SR or 91 kWh in ER versions). The only thing we can say is that the general consensus is that Tesla has a lower battery capacity than Ford, but achieves more range through lower energy consumption/higher efficiency.

Speaking of range, depending on the version, the RWD Ford Mustang Mach-E gets 250 miles of EPA Combined range (SR version) or 310 miles (ER version). In the case of the AWD versions, it’s 226 miles (SR) or 260-312 miles (ER versions).

Meanwhile, the Tesla Model Y has a driving range from 279 miles up to 330 miles. In other words, the Tesla’s bracket appears to be slightly higher, when comparing the AWD to AWD, but of course, we need to check particular versions side-by-side, which we will do later in this post.

The third thing to compare is the acceleration from 0 to 60 miles per hour. It’s 3.5 to 6.3 seconds in the case of the Ford Mustang Mach-E (3.5-5.1 in AWD versions), and 3.5-5.0 seconds in the case of the Tesla Model Y. Very similar on paper. By the way, the numbers for Performance versions usually are “with rollout subtracted.”

* Ford Mustang Mach-E battery capacity is usable capacity; Tesla Model Y battery capacity is just a rough estimation of total capacity (what to expect)

** some EPA range numbers are estimated/expected/unofficial values

Comparisons

With all of the basic data outlined, let’s now take a look at a few all-wheel drive versions, compared side-by-side, to better understand the differences and how competitive are the two cars.

The first pair is the entry-level AWD versions – the new Mach-E Select SR, equipped with Lithium Iron Phosphate (LFP) batteries, and the Tesla Model Y from Texas, equipped with 4680-type cylindrical battery cells (NCM, as far as we know).

As we can see below, the Ford Mustang Mach-E has slightly higher battery capacity (and that’s even when comparing the net value to Tesla’s estimated total) but offers a noticeably lower range – by one-fifth.

On the other hand, there is a chance that the LFP battery will allow charging up to 90-100 state-of-charge (SOC) daily, without sacrificing longevity, while in the case of the NCM, it’s usually advised not to fully recharge daily, especially if the additional range is not necessary (avoid sitting idle at 80-100 percent SOC). Anyway, we will have to wait for our InsideEVs’ 70 mph range test to get a better idea of what to expect in terms of real-world range.

Acceleration is basically the same and it will be difficult to distinguish the two on a daily basis. In the case of the Ford Mustang Mach-E, the issue (especially of the Performance versions) is that it does not offer peak power for too long, which limits the performance of repeatable acceleration.

In terms of DC fast charging, the Ford Mustang Mach-E with LFP battery is improved, because it can go up to 150 kilowatts (kW), but it’s still far behind the Tesla Model Y, which even in the entry-level version gets 230 kW. Access to the Tesla Supercharging network is another thing, although some of the stations were recently opened to non-Tesla vehicles in the US.

Another interesting thing is that the Ford Mustang Mach-E is noticeably heavier than the Tesla Model Y (by around 10 percent, according to the raw specs). That would explain why Tesla gets better efficiency and higher range.

Finally, pricing. The two cars are relatively close to each other in terms of MSRP, but because of the difference in the federal tax credit, the Tesla Model Y AWD actually becomes effectively less expensive than the Ford Mustang Mach-E Select SR LFP AWD.

Now, let’s move to the versions with higher battery capacity and range. The Ford Mustang Mach-E Premium ER AWD versus Tesla Model Y Long Range AWD.

Just like previously, it’s difficult to compare battery capacity (91 kWh net in the Mach-E, and probably around 80 kWh total in the case of the Model Y). Anyway, the Mach-E has noticeably more energy available. Both packs are high-nickel type (NCM Mach-E, and NCA Tesla Model Y, we believe).

Interestingly, the Tesla Model Y has some 12 percent more EPA Combined range (330 miles over 290 miles), and the difference is even higher on the highway (almost 15 percent).

It’s worth noting that according to EPA, the Ford Mustang Mach-E ER AWD energy consumption, including charging losses, is about 25 percent higher than Tesla Model Y LR AWD. Part of that might be the fact that the curb weight of the Mach-E is almost 11 percent higher.

Acceleration numbers are exactly the same. Fast charging is better in the Tesla Model Y (up to 250 kW plus access to the full Tesla Supercharging network).

The biggest issue for Ford Mustang Mach-E is that its MSRP price is higher than Tesla’s price by $6,000. Then we can also see a halved federal tax credit, and in effect, there is a massive $10,665 effective difference between the two.

In the case of the performance-oriented versions (Mach-E GT Perf. ER AWD and Tesla Model Y Perf.), the main change over the previous part is higher power output of the vehicles, which is necessary to achieve 0-60 mph acceleration in 3.5 seconds.

Both cars can do it, but the specs indicate that the Mach-E also has a 14 percent lower EPA Combined range, despite a bigger battery (potentially by roughly 14 percent). That’s because the efficiency is lower by a quarter or so – with a big part due to a 14 percent higher curb weight.

Once again, the biggest issue appears to be the price – over $10,000 higher in the case of the Mach-E, even before deducting the federal tax credit, which elevates the difference to effectively $14,665 or 30 percent. Even if one would select the $5,000 less expensive Mustang Mach-E GT ER AWD, which accelerated 0-60 mph in 3.8 seconds, the price difference would still be relatively high.

Overall, it seems that Tesla’s price reduction applied this year (thanks to high margins), significantly improved its competitive position and it’s difficult even for Ford to compete. Additionally, the Inflation Reduction Act of 2022 (IRA) cuts the Mach-E’s $3,750 federal tax credit.

It’s a really challenging position to be in the all-electric crossover/SUV segment right now, and we are curious as to how it will develop, especially once GM launches its Ultium-based contender.

Tesla appears to have an edge over others, but it must be careful because the supply and demand balance is fragile.