The 2021 Ford Mustang Mach-E electric SUV will arrive as a rival for the Tesla Model Y on the performance side and the Volkswagen ID.4 on the price-conscious side. With electric-car battery prices on the way down, and the competition heating up, Ford has decided it's better to drop those prices before deliveries even start—which is very soon. 

Ford confirmed Tuesday that it is reducing the prices on the Mustang Mach-E First Edition and entry-level Select trim by $1,000, the Premium by $3,000, and the California Route 1 version by $2,000. The GT price remains unchanged.

Pricing on the consumer site and order tools already reflects the changes. 

Including Ford’s $1,100 destination and delivery fee, that brings the model line’s new entry price down to $43,995. Premium models start at $48,100 with the Standard Range battery or $53,100 with the Extended Range battery. The California Route 1 costs $50,900, and the GT adds up to $61,600 on Ford’s order tool. 

Standard Range versions include a battery pack with 68 kwh of usable capacity and Extended Range versions come with 88 kwh. EPA range ratings for the Mach-E haven’t yet been released, but with some versions offering rear- or all-wheel drive, the estimated respective ranges span from as little as 210 miles with the Standard Range battery and AWD up to 300 miles with the Extended Range battery and RWD. Ford has also said that the Mach-E will keep getting smarter about driving range.

The First Edition version, which is now sold out, totals an even $60,000 after the price reduction. 

Mach-E buyers qualify for the federal EV tax credit amount of $7,500, which brings the effective base price of the lineup to $36,495 before additional state incentives that might be applicable—which puts the model in a unique competitive position, as part of the Mustang family.

Just last week, Volkswagen revealed and priced its ID.4 crossover. It arrives in the U.S. early next year priced at $41,190 in ID.4 Pro form or $45,190 for the 1st Edition version arriving in December with all the goods. A version that brings the base price down near the $35,000 mark is due after VW begins U.S. production of the ID.4 in 2022.

The Tesla Model Y currently starts at $51,190, including its $1,200 destination and document fee—reflecting Tesla's own price drop made in July. That’s for the dual-motor AWD version; the rear-wheel drive version should be arriving soon.