Tesla appears to be successively raising the price of its Model Y in several markets around the world. A few weeks ago, the US-based EV maker started a price war in the EV industry by successively slashing the prices of its vehicles. The automaker raised prices for the Model Y crossover in the U.S. and China. The latest price update follows another rate hike announced a few days ago.
Tesla’s official website says the Model Y Performance variant will now start at $58,490, up $500 from its previous list price of $57,990. U.S. pricing has increased by $500 for the Model Y with all-wheel drive, while the Model Y with long-range all-wheel drive remains unchanged at $54,990.
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It’s the third price increase for the electric crossover since the car’s massive price cut. Tesla hasn’t officially said anything yet, but a series of price hikes could be a sign that the automaker is seeing strong demand for its vehicles. Therefore, the automaker may increase EV prices to balance supply and demand. Interestingly, with price reductions and eligibility for the $7,500 federal tax credit for all Model 3 and Model Y versions in the US, the company is likely to be well positioned.
In China, the Tesla Model Y has become a bit more expensive. The automaker’s official website shows a 0.8% price increase for the entry-level Model Y crossover, a small increase considering the 5.7-13.5% price cuts introduced in January 2023.
The Tesla Model Y is the brand’s second best-selling vehicle behind the Model 3 compact sedan. The Model Y is mostly built in China, as China is the main market for the electric car.
First published date: Feb 13, 2023 at 15:31 PM CST