Tesla implemented price reductions across its vehicle lineup in several international markets, following a recent price cut in the U.S., aiming to align the company's production capabilities with the global demand for its electric vehicles.
The price cuts were initiated the week of April 15 in the U.S., as Tesla reduced prices by approximately $2,000 on most models, excluding the Model 3. The price adjustment continued internationally late April 21, with reductions in China and Germany -- both countries hosting Tesla Gigafactories.
In China, the cost for the rear-wheel-drive Model 3 now stands at 231,900 yuan ($32,014), about a 14,000 yuan ($1,933) decrease. Similarly, in Germany, the price for the same model was reduced to 40,990 euros ($43,360) from 42,990 euros ($45,780).
These price adjustments are not isolated events but part of a broader pricing strategy Tesla has been employing across various regions, including other European countries, the Middle East and Africa.
Conversely, Tesla increased the price of the Model Y in the U.S. at the beginning of April and made a similar price adjustment in Europe that took effect March 22. These increases followed previous price adjustments made in February.
The timing of these cuts also coincides with Tesla's upcoming Q1 2024 earnings call, scheduled for April 22. The call is expected to address the company's recent performance metrics, future product plans and updates on executive compensation.
