Tesla cuts prices on models sold in the US: report
Tesla cut prices on models in China a week ago after sales in that country plunged in December
Tesla stocks fall due to China EV demand, Musk's Twitter 'distraction': R 'Ray' Wang
Constellation Research founder R 'Ray' Wang discusses the performance of Tesla's stocks as they head for record lows and provides an outlook for tech stocks.
Tesla's recent round of price cuts now involves vehicles sold in the U.S.
The electric automaker has reportedly cut prices on some models by nearly 20%, according to the Wall Street Journal.
The move is seen as a way to grab new buyers at a time Wall Street is concerned appetite for the vehicles is weakening.
The cuts are likely to allow some buyers to qualify for a $7,500 U.S. government tax credit.
TESLA CUTS PRICES IN CHINA AMID SLUMP IN DELIVERIES
Tesla CEO Elon Musk alongside the electric automaker's logo. (Getty Images/AP / Getty Images)
Elon Musk's car company slashed the price of its baseline Model Y crossover by almost 20% to $52,990. That puts the vehicle below a $55,000 cap, making it eligible for the tax incentive.
A 14% cut brings the price of a high-performance version of its Model 3 sedan to $53,990, also putting it under the cap.
The Model 3 and Model Y are Tesla’s bestselling vehicles.
A Tesla Model 3 is seen in a showroom in Los Angeles, California. (REUTERS/Lucy Nicholson / Reuters Photos)
The company also lowered prices for its Model S luxury sedans and Model X sport-utility vehicles.
TESLA FINED $2.2M FOR EXAGGERATING DRIVING RANGE OF ITS VEHICLES: REPORT
A Tesla Model 3 sedans and Tesla Model X sport utility vehicle at a new Tesla showroom. (REUTERS/Yilei Sun / Reuters Photos)
FOX Business has reached out to Tesla for comment.
Tesla cut prices on vehicles in China a week ago, after sales there plunged in December.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TSLA | TESLA INC. | 342.03 | -3.97 | -1.15% |
Musk suggested last month that the higher interest-rate environment was hurting demand.
CLICK HERE TO READ MORE ON FOX BUSINESS
Tesla delivered about 1.31 million vehicles last year, up roughly 40% from 2021, but short of the company's target of 50% or more.
Shares of Tesla fell about 65% in 2022.