Tesla price cut...WOW

[Sooner or later]

https://electrek.co/2023/01/12/amid-demand-concerns-tesla-cuts-prices-by-up-to-13k-in-us/

Tesla has massively cut prices across new models in the US (update: and Europe), with the largest price drop occurring on the Model Y, which is now $13K and 20% cheaper than it was yesterday.

Among other things, this means that the base five-seat Model Y now qualifies for the $7,500 EV tax credit in the Inflation Reduction Act. The five-seat Model Y configuration was previously left out of qualifying since it’s considered a “car” rather than an “SUV” by government rules, which take into account a number of factors. This means that it needs an MSRP of under $55K to qualify, which base models now do.

So in addition to the $13,000 price drop, the base Model Y is another $7,500 cheaper for those who qualify for the full tax credit, meaning a Model Y ordered today could be more than $20K cheaper than one ordered yesterday – assuming delivery is taken before mid-March, when the tax credit is expected to be reduced to $3,750.

[masraum]

increased sales to increase the bottom line to increase stock prices which have suffered.

[GH85Carrera]

It is just a taxpayer ripoff to subsidize electric cars. If someone wants an electric car, pay the full price yourself. I don't want to help anyone buy a fancy car.

[Superman]

Well.....let's just say that a series of business decisions by a CEO can lead to a cascade of other business decisions....and leave it at that.

[cockerpunk]

hopefully this drops TM3P used prices into the 30s. at that point, i might be interested.

[upsscott]

That Model S Plaid is looking pretty enticing.

[Reg]

What a slap in the face to anyone who bought one recently.

[Noah930]

Originally Posted by Reg

What a slap in the face to anyone who bought one recently.

I read some story of how there have been angry protests (by recent Tesla purchasers) in China because of this. Suspiciously, it was organized though by a guy who works for another electric car manufacturer. Apparently his wife recently bought a Tesla (odd?) and he claimed just to be there representing her interests.

[berettafan]

I guess i found out the Y wasn't gonna be treated as an SUV.

[Noah930]

Originally Posted by berettafan

I guess i found out the Y wasn't gonna be treated as an SUV.

Apparently depends on the seating configuration you choose. 5-passenger is a car, but 7-passenger is an SUV?

[MMARSH]

I just drove a Model Y for a couple days while getting a cracked windshield replaced on my Model S. It drove pretty good. I thought it was more comfortable then the Model 3, although I don't really care for the exterior styling that much. My wife is thinking about trading in her Model 3 for a performance model 3. Looks like it might be a good time to do that

[Steve Carlton]

There should be a performance upgrade for the dual motor Model 3 that makes it a "poor man's" performance model.

I've always heard the Model Y handles like **** compared to a Model 3- not sure if that really matters to some, though. Might be able to thread the needle on tax credits, but I could see a run on the models that do.

https://fortune.com/2023/01/13/tesla-price-cut-suv-model-3-us-tax-credit-ev/

[berettafan]

I thought the Y was much easier for an old fat ****er to get in and out of. Otherwise not much difference to me. Numb feeling, over the top minimalist interior, stupid quick and no trips to the gas station.

[LWJ]

My buddy has a plaid. Says the performance is unlike anything he has ever had - and - he has had just about all the cool cars made today.

He also said the quality was awful. Rattles. Stuff falling off. Similar. He is not selling any Teslas.

[berettafan]

The acceleration in the plain old Y i drove for a few days was breathtaking for someone who's never owned anything faster than a E46 325.

[red 928]

Until recently, lots of people were getting stinking rich off the stock market or
crypto and one of the first things they bought was ... a tesla.
That market is starting to dry up.
The people at tesla are smart.
They know how much the economy is hurting sales
and know that a price cut is necessary now to
maintain production and sales numbers.


So they can cut prices or cut production.
To suggest this price cut is directly related to the boogie-man Musk
does not indicate a lot of smarts.

[The Synergizer]

Might be more a reflection of the cars real value too. When they were hot they were hot. Now they're becoming commonplace cars.

[Steve Carlton]

With lots of competition now.

[jyl]

Used Tesla prices are falling fast. One of my friends bought a Rivian and can’t sell his Tesla S for a tolerable price. Another is going to get rid of his Tesla (he’s one of those who is motivated by Musk) and is facing the same problem.

It’s partly Musk, partly that Teslas have become so commonplace, partly that the competition is stronger, and partly that tech folks are getting nervous about their jobs.

I think they are good looking cars, but starting to be a little like Kleenex.

[McLovin]

Used prices were already naturally falling because of increased used Tesla supply (tons have started coming off lease in the past few months) and somewhat decreased demand.
Tough to sell a used Model 3 for a high price right now when you can get a brand new, fully warrantied, better one for $37.5k. With either immediate delivery or very quick delivery.
Such a dramatically different market than 6-12 months ago, when a used one could command more than MSRP.