The Tesla Model Y will be substantially updated this year with a new look, an interior overhaul and substantially improved performance figures.

The updated version of the incredibly popular EV – which was the world’s best selling car in 2023 – has now been spotted testing in Europe ahead of its imminent arrival on the continent.

The SUV’s immense success makes it Tesla’s most important asset and the American EV maker will look to leverage it in an attempt to move out of a prolonged sales dip, during which it has been without a month-on-month deliveries increase since the end of 2023.

These test mules of the updated SUV – codenamed Project Juniper – showcase a number of new design elements for a car which has not been updated since its 2020 launch.

Most notable are the split headlight design, not yet seen on a Tesla model, and which look to take inspiration from the new Polestar 4. 

At the rear, the Model Y will be differentiated most obviously from the current car by a new light bar that is notably different from the C-shaped clusters added to the back of the Model 3.

Given it has not been updated in almost five years also means it no longer so obviously offers a usability and performance advantage over its rivals. The SUV’s maximum 331-mile range, for example – seen as a headline attribute at its launch – has now been surpassed by cheaper rivals such as the Skoda Enyaq and Peugeot e-3008.

Addressing that shortcoming will be a focus of the Model Y’s facelift, as it was for the Model 3, which can now travel up to 8% further on a charge than it did previously, thanks to extensive revisions to its aerodynamics and electronics.

Although not immediately apparent from the heavily camouflage mules, the Model Y’s revised front end will follow the updated Model 3 in featuring a bumper reshaped to cut through the air more efficiently and boost range while also reducing wind noise at a cruise. 

This treatment lowered the Model 3’s drag coefficient from 0.23 to 0.219, making it one of the slipperiest cars on sale.

A similar treatment for the SUV could contribute to a range of more than 350 miles in its most efficient form. Another focus of the refresh will be to improve the Model Y’s usability and quality credentials. To that end, the Model 3’s redesigned centre console, new upmarket textiles and 8.0in rear touchscreen are expected to be carried over. 

One of the more controversial elements of the Model 3’s facelift was the migration of the indicator controls from a stalk to the steering wheel and it remains to be seen whether Tesla will react to criticism of that by retaining the Model Y’s traditional controls.

Tesla is not expected to make drastic changes to the powertrain and charging system – the Model Y’s 250kW maximum charge speed is still one of its strong suits – but the top-rung Performance version is likely to receive a significant increase in power to take the fight to the new electric Porsche Macan Turbo. 

As an indication, the 453bhp Model 3 Performance cracks 0-62mph in just 3.1sec and achieves a top speed of 163mph. Assuming the Model Y gets close to those figures, it will be one of the fastest crossovers on the market.