STOCKHOLM, Oct 10 (Reuters) -

Tesla launched the new, lower-priced standard

version of its best-selling Model Y SUV in Europe on Friday,

aiming to reinvigorate demand in a market that has weakened

sharply over the past year.

The new Model Y Standard, unveiled earlier this week,

marks Tesla's latest push to boost demand in Europe, where sales

of its electric vehicles have been slowing and competition is

intensifying.

However, the more affordable model is set to face a

crowded field

of European and Chinese brands offering smaller EVs at

lower price points

Tesla also introduced a

Standard variant

of the Model 3 in the U.S. earlier this week but the

variant was not listed on websites for most European markets.

To achieve lower prices, Tesla has pared back some

features in the new versions. The Model Y Standard comes with

reduced interior lighting, fewer speakers, fabric seat covers

and does not include Autosteer as standard.

""It is a very competitive price. It is a car with very

good tech and good size for that price, and they will compete

well in the market with others there," said Christina Bu,

secretary general of the Norwegian EV Association.

The company has priced the new version of the Model Y

SUV at 421,996 Norwegian crowns ($41,714) in Norway, according

to Tesla's website.

In Germany, the model is priced at 39,990 euros

($46,304) and the vehicle costs 499,990 Swedish crowns ($52,521)

in Sweden. Tesla said the model would be available in Germany,

Norway and Sweden in November or December.

The move comes as Tesla grapples with softening demand

across Europe. New registrations have fallen sharply this year

in several markets despite earlier refreshes to the Model Y

lineup.

Norway, however,

remains an exception

, where deliveries of the revamped Model Y surged earlier

this year following strong local incentives and improved supply.

Meanwhile, the lower-cost version of the Model Y was not

available in Ireland and the UK, where cars are right-hand

drive, according to Tesla's website.

($1 = 10.1163 Norwegian crowns)

($1 = 9.5198 Swedish crowns)

($1 = 0.8636 euros)