Tuesday, February 27, 2024
News Tesla Reduces Pricing On Its Models To Boost Business

Tesla Reduces Pricing On Its Models To Boost Business

Overnight, Tesla has cut pricing by thousands of dollars on nearly all its vehicles.

  • Price cuts between $1,400 and $5,500

  • The Model Y has not received any price adjustments.


Tesla’s decision to drop pricing on its Model 3, Model S, and Model X comes at an ideal point in time. The Globe is still very much in the grips of this pandemic and all of its current and upcoming hard economic times. Even so, many are or will be in the market for a new vehicle and this price drop could be sufficient to sway potential buyers.

Tesla, unlike most automakers, has rarely if ever been in a position where supply severely overshadows demand. Tesla’s not known for discounting or incentivizing its vehicles but despite this, trimming its pricing structure by between $1,400 and $5,500 is a powerful sign. Mind you, the Model Y, the all-new small SUV’s pricing is unchanged which, given the backlog of demand, is logical.

2020 Tesla Model Y At A Glance

The Model 3 Standard Range Plus, which retailed for $54,600, is now priced at $52,990. The same rebate applies to all Model 3 iterations. There also exists a Standard Range Model 3 which is priced at $44,999. Unfortunately, we cannot confirm if its price has been lowered as this version is not available for order online.

2018 Tesla Model 3 Performance First Review

The Model S Long Range Plus was $111,600 and is now $105,990. Once more, the price reduction is identical for all variations. Finally, the Model X Long Range Plus was priced at $118,600. It now starts at $112,990 – the same price drop for all.

Now, you might be thinking that these price cuts are insignificant even for the Model 3 and, in a way, you’d be right. The fact of the matter is that despite the love everyone seems to have for Tesla vehicles, demand has in fact slowed. Curious potential Tesla buyers will now spot countless news stories on their price cuts, which may very well drum up sales.

Tesla Model S Range
Tesla Model S | Photo: Tesla

Tesla Model X
Tesla Model X

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Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai

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