The first models of the 35,000 (£27,000) electric vehicle begin production this week.
The five-seat sedan will travel 215 miles (133 kilometres) on a single charge.
It will be sporty, accelerating from zero to 60mph in under six seconds.
The car has no traditional dashboard, but instead a computer monitor in the center of the car which shows details about the car and its route.
It will be controlled via a touchscreen and each side of the steering wheel will have a single scroll button.
The California-based company aims to make 5,000 Model 3 sedans per week by the end of this year and 10,000 per week in 2018.