Following the conclusion of the promotional period in February, Tesla has reverted the price of the Model Y to its standard levels, ending the discounted pricing that was in effect during the
Tesla has concluded its limited-time Model Y promotional pricing, which was introduced in February and featured a $1,000 discount on the vehicle.
The Model Y has now returned to its standard pricing structure, with the Rear-Wheel-Drive configuration priced at $43,990 and the Long Range option at $48,990.
Tesla initially announced the temporary price reduction on February 10, offering a $1,000 discount for orders placed through the end of the month. However, there was a caveat—the company noted that prices would increase by $1,000 or more starting March 1.
Elon Musk, Tesla's CEO, addressed the decision to cut prices temporarily, stating, "This is the essential quandary of manufacturing: factories need continuous production for efficiency, but consumer demand is seasonal."
Tesla is strategically employing various tactics to stimulate demand and bolster sales of its electric vehicles throughout the year. During the Q4 and Full Year 2023 Earnings Call, Tesla projected a "notably lower" sales growth rate for 2024 as the company focuses on introducing its next-generation vehicle, expected to hit the market around 2025.
According to the Shareholder Deck for the fourth quarter, Tesla is currently in a transitional phase between two major growth waves, with the first involving the global expansion of the Model 3/Y platform and the next one anticipated with the global expansion of the next-generation vehicle platform. While the growth rate in vehicle volume for 2024 may be lower than that of 2023, Tesla remains optimistic about increasing deliveries this year, acknowledging that the launch of the next-generation vehicle at Gigafactory Texas may entail production pauses and adjustments to factory production lines.
-------The article excerpted from TESLARATI.
