Tesla on Thursday launched a new rear-wheel drive variant of its Model 3 long-range vehicle, at a price $5,000 lower than the all-wheel drive version, according to the electric vehicle maker’s website.

The new Model 3 long-range variant is priced at $42,490.

There were no changes to the prices of the base Model 3, the long-range all-wheel drive and the performance variants.

Tesla reported a smaller-than-expected 5 per cent drop in vehicle deliveries in the second quarter as price cuts and incentives helped mitigate cooling demand.

The company will report second quarter earnings on July 23.

Read: Tesla starts laying off employees at Nevada plant