Tesla cut prices on its two most expensive electric vehicles in the United States.
The price cuts, Tesla's fifth adjustment since the start of the year, ranged from 4% on the high-performance version of the Model S to 9% on the more expensive Model X.
Musk has said repeatedly in recent months that Tesla would focus on lowering prices to boost demand and had been successful in generating orders with the global discounts introduced in January. "People's desire to own a Tesla is extremely high. The limiting factor is their ability to afford a Tesla," Musk said last week at Tesla Investor Day.
Tesla slashed prices for its cars in all of its markets in January, offering discounts of up to 20% in what many analysts saw as the start of a price war by the electric vehicle market leader.
It has been adjusting prices ever since with a pace and frequency that goes beyond what established automakers have attempted in an industry where a car's base price is still known as a "sticker price" on a vehicle in inventory.
The Model S and Model X, which come in basic all-wheel drive (AWD) and "Plaid" performance editions, accounted for about 4% of Tesla's global deliveries in 2022. Its two cheapest models, the Model 3 sedan and Model Y crossover, made up the rest.
Tesla's website showed that it had reduced the prices of both versions of its Model S by $5,000. The base version of the Model S is down 5% to $89,990 while the price of the high-performance Plaid variant is down 4% to $109,990.
Prices for base and performance variants of Model X cars have been cut by $10,000, the electric vehicle maker's website showed. The price of the base AWD version of the Model X is down 9% to $99,990, while its high-performance Plaid version is down 8% to $109,990.
Tesla has a new version of the Model 3 codenamed "Highland" scheduled to go into production later this year and a move to the Model Y codenamed "Juniper" for next year, Reuters reported.
Source: CNN
Comments