Tesla cuts prices of Model 3, Model Y EVs again; its second price cut this month

  • Tesla has cut the price of its Model Y long-range all-wheel drive model by 9.1% while the price of the Model Y performance will drop by 8.5%.
The price of Tesla Model Y long range all-wheel drive has now dropped to $49,990.
The price of Tesla Model Y long range all-wheel drive has now dropped to $49,990.
View Personalised Offers on
Notify me

US EV maker Tesla has slashed the prices of its Model 3 and Model Y electric vehicles for the second time this month in order to stoke customer demand in the face of rising interest rates. CEO Elon Musk is yet again willing to sacrifice the company's profitability after several quarters of delivery targets being missed.

The automaker has cut the price of its Model Y long-range all-wheel drive model by 9.1% to $49,990 while the price of the Model Y performance will drop by 8.5% to $53,990. The cost of a Model 3 rear-wheel drive will be cut by 7% to $39,990.

Also check these Cars

Find more Cars
Tesla Model S (HT Auto photo)
UPCOMING
BatteryCapacity Icon100 kWh Range Icon570 km
₹70 Lakhs - 1 Cr
Alert Me When Launched
Lexus Es (HT Auto photo)
Engine Icon2487.0 cc FuelType IconMultiple
₹ 56.55 Lakhs
Compare
View Offers
Bmw I4 (HT Auto photo)
BatteryCapacity Icon83.9 kWh Range Icon493 Km
₹ 69.90 Lakh
Compare
View Offers
Volkswagen Id.7 (HT Auto photo)
UPCOMING
BatteryCapacity Icon77 kWh Range Icon621 Km
₹ 70 Lakhs
Alert Me When Launched
Tesla Model 3 (HT Auto photo)
UPCOMING
BatteryCapacity Icon82kWh Range Icon 555 km
₹ 40 Lakhs
Alert Me When Launched
Tata Nexon (HT Auto photo)
Engine Icon1497 cc FuelType IconMultiple
₹ 8.10 Lakhs
Compare
View Offers

Also Read : Electric vehicles are key battleground at Shanghai Auto Show

While other EV rivals in the US market such as Ford, new entrants Rivian and Lucid find it difficult to make money at lower volumes, Tesla is in a position where it has big profit margins to work with, Bloomberg reported.

After the company made its first lineup-wide price cuts early this year, Musk informed in the January 25 earnings call that the company has been receiving orders at almost twice the rate of production. However, the company was unable to sustain that supply-demand dynamic. Deliveries have risen about 4% from the fourth quarter, and Tesla produced almost 18,000 more cars than it handed over to customers.

However, despite a second round of discounts to the Model S and X in early March, the company delivered only 10,695 of those vehicles in the quarter, the lowest since the third quarter of 2021. The company is due to announce its first-quarter earnings on Wednesday in the US, where investors will be focused on the hit to margins from the earlier price cuts.

Check out Upcoming EV Cars in India.

First Published Date: 19 Apr 2023, 10:38 AM IST
NEXT ARTICLE BEGINS

Check Latest Offers

Please provide your details to get Personalized Offers

Choose city
+91 | Choose city
Choose city
Select a dealer

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.