After Tesla slashed prices across its lineup, Vietnamese automaker VinFast is doing the same in order to remain competitive. The 2023 VinFast VF 8 City Edition Eco will now start at $49,000 (formerly $55,500), while the VF 8 Plus now costs $56,000 (formerly $62,500). VinFast says customers will also receive an additional $3,000 off those MSRPs. After a recent price bump of $500, the Tesla Model Y now starts at $53,490, meaning the VF 8 is now significantly cheaper.

With a lower starting price, VinFast was able to make its lease deals for the VF 8 slightly cheaper. The Eco trim now costs $519 per month for 24 months with 10,000 miles per year and $6,314 due at signing. This trim was formerly $599 per month to lease, but it required less money down ($5,774). Lessees can now get the VF 8 Plus for $599 per month (formerly $699) with the same $6,314 down.

Along with the price drop, VinFast has finally announced its anticipated range update. As a reminder, the VF 8 was previously rated at only 179 miles of range. The new EPA rating isn't much better... just 207 miles. It's worth noting that range is only for the VF 8 Eco, so the Plus might have a lower range.

VinFast says the VF 8 Eco produces 348 hp and can hit 62 mph in 6.5 seconds. The VF 8 Plus is significantly quicker with 402 hp, hitting 60 mph in 5.3 seconds. A Model Y Long Range is rated at 330 miles, for comparison. The Tesla is more powerful too with 425 horsepower and a 4.8-second 0-60 mph time.

VinFast struggled to make a competing value proposition for the VF 8 even before Tesla cut five digits off the Model Y's price, and these recent price drops only swing the balance slightly back in the Vietnamese automaker's favor.

The VF 8 might be significantly cheaper than before, but it's still more expensive than many other mainstream EVs on the market and it comes with an inferior range. Hopefully, the VF 9 will be more competitive when it arrives later this year.