Tesla slashes car prices except for the Model Y



Tesla has just slashed the prices of its electric car lineup except for the Model Y compact SUV — the price cuts start from $2,000 on a Model 3 to $5,000 on Model S and Model X vehicles.

Tesla has also withdrawn the ‘Unlimited Supercharging offer’ with the purchase of a Model S or Model X as a result of the latest price reduction.

This move comes from after getting the plant back to work after almost 2 months of shut-down due to the COVID-19 situation, according to experts and long-term investors like Rob Maurer (his Tesla Daily Podcast video below).

This price drop might be an indicator of a temporary slump in demand due to the global health crisis that has halted most buyers in purchasing new and expensive stuff.

The following table shows the new and old prices and the amount of price drop for each model and variant:

VehicleNew PriceOld PriceChangePercent
Model 3 Standard Range Plus$37,990 $39,990$2,000-5.0%
Model 3 Long Range $46,990$48,990$2,000 -4.1%
Model 3 Performance $54,990$56,990$2,000 -3.5%
Model S Long Range $74,990$79,990$5,000-6.3%
Model S Performance $94,990$99,990$5,000 -5.0%
Model X Long Range $79,990$84,990$5,000 -5.9%
Model X Performance$99,990$104,990$5,000-4.8%
Data: Tesla Inc.

Most of the European countries have not benefited from this change but the prices have also dropped in China, although much less in percentage compared to the North American region.

After scoring a record Q1 this year, Tesla (TSLA) has to come up with a strategy in order to make its long-term investors happy even in the wake of the current crisis and the fact that Tesla was the last automaker allowed to start production in the United States, there needs to be some damage control.

Since there is no solid information available that the $2,000 price reduction has transitioned to the $35k Model 3 Standard Range (only available off-menu i.e. in physical stores) — the Standard Range Plus variant of the Model 3 is now very closely priced to this, most customers won’t even bother going for the base variant if prices stick at this level for a long period of time.

However, it is totally possible that Tesla increases the Model 3 prices back to the original ones as soon as the demand stabilizes again, as we have witnessed this in the past (visually represented in the following graph for the Model 3 base price history).

Tesla Model 3 base price history graph.
Tesla Model 3 base price history. Graph by Aldrich Bautista.

There was a time when the Ludicrous Mode upgrade was a $20,000 purchase alone but last year Tesla decided to give it for free with the purchase of the Model S or X Performance variant. Now the fastest accelerating car in the world that goes from 0-60 mph in just 2.3s is even cheaper.

Latest: Tesla increases the prices of Model Y and Model 3 in Oct 2021

More on Tesla:

Iqtidar Ali
Iqtidar Alihttp://www.teslaoracle.com
Iqtidar has been writing about Tesla, Elon Musk, and EVs for more than 3 years on XAutoWorld.com, many of his articles have been republished on CleanTechnica and InsideEVs, maintains a healthy relationship with the Tesla community across the Social Media sphere. You can reach him on Twitter @IqtidarAlii


Comments are closed.

Latest News

Cybertruck takes Monaco Hairpin turn with ease using 4-wheel steering, steals attention from ultra-luxury cars

Fairmont Hairpin Curve is a popular tourist destination in  Monte Carlo, Monaco — and what better place is to...

Chuck Cook tests Tesla FSD v12.4.1 at his difficult unprotected left turn (video)

It has been almost two weeks since Tesla started rolling out FSD v12.4.1 to a limited number of external...

Cheaper non-Foundation Tesla Cybertruck production to start in Q3 2024

During the Tesla (TSLA) Annual Shareholder Meeting Q & A session last week, the CEO Elon Musk gave an...

Tesla investors approve Elon Musk’s $56B pay package, he shares the vision for a $25T market cap

Tesla (TSLA) CEO Elon Musk was more than happy as he danced his way to the presentation floor at...
- Advertisement -

Flight 4 Starship survives reentry burn and makes a successful splashdown landing

Yesterday’s Starship launch (Flight 4/IFT-4) accomplished all of its goals. The successful launch and reentry of both Super Heavy...

SpaceX announces new Starship Flight 4 date, adds Hot-stage Jettison to the timeline, more

Elon Musk’s SpaceX has announced the earliest date of Starship Flight 4 i.e. 6th June 2024. The spaceflight company...

Starship updates: New Flight 4 schedule, watch full stack test, developments at Starbase, more

SpaceX’s orbital launch site in Starbase, Texas had a tough work routine this past week with multiple operations going...

Tesla Tips & Tricks

Tesla Model Y/3 heat pump issue in cold weather might not be fixable with just a software update

Canada's extreme cold weather is taking a toll on...

Here’s how to drive a Tesla Model 3/Y without the center screen (video)

All credit goes to Tesla for making giant center...

Tesla phone app lets owners remotely melt snow off their cars (video)

Tesla cars have some super-nice climate features that other...

Tesla Quarterly Reports & Eearnings

- Advertisement -

You might also likeRELATED
Recommended for You