Tesla Price Hike is Here, Most EVs to See as Much as $1,000 Added to its Cost

Isaiah Richard, Tech Times 12 May 2023, 08:05 pm

Reports are now swirling in the latest price change from Tesla which is another price hike for its electric vehicle lineup, centering on most of the cars that are available for the public. These new prices are already reflected on the company's website and are effective immediately for interested buyers who are only purchasing their Tesla EVs now.

As much as $1,000 is added to the EV's price tags now, but not all of the company's vehicles are seeing a price increase this Spring.

(Photo : Dean Mouhtaropoulos/Getty Images)

Tesla is At It Again with Another Price Hike for its EVs

Tesla has announced a price increase on nearly all of its electric vehicle models, adding as much as $1,000 to the cost of owning one, reported Reuters. According to the report, as much as 0.5 percent to 1.1 percent were added to the price of its EVs in this hike.

The price adjustment affects the popular Model S, Model X, and Model Y, while the price of the Model 3 remains unchanged. The reasons behind Tesla's decision to raise prices across its lineup have yet to be disclosed, leaving industry observers and potential buyers curious about the company's motivations.

The Model S is now seeing a base price of $88,490, while the Model X is now priced at $98,490, both seeing $1,000 more than their previous rate.

On the other hand, the Model Y only saw $250 added to its previous prices, with the standard version now at $47,490, the long-range edition is $50,490, and the performance model is $54,490.

The Tesla Model 3 is Not Affected by this Increase

The only vehicle that did not see a change is the Model 3, with the EV remaining at $40,240 for its standard rear-wheel drive package, says CNET. The Model 3 has been Tesla's most affordable and popular offering, driving the company's mass-market appeal.

For the past months, Tesla has presented new price points for its EVs and one was because they aim to make its EVs qualify for the discounted tax rates from the US government.

Tesla and its Electric Car Development

Tesla, renowned for its cutting-edge electric vehicles and groundbreaking technologies, has consistently pushed the boundaries of innovation in the automotive industry. However, the recent price hike on several of its models has caught many customers off guard.

With electric vehicles becoming increasingly popular and affordable, Tesla's decision to increase prices raises questions about the company's pricing strategy and market positioning.

It recently achieved its goal for Gigafactory Texas to manufacture 5,000 Model Ys in a week, a success for its manufacturing quota for the local production plant.

Tesla's decision to raise prices comes at a time when competition in the electric vehicle market is intensifying. Traditional automakers and emerging startups are introducing their electric models, presenting consumers with an array of choices.

As Tesla continues to expand its global presence and work towards sustainable transportation, the pricing adjustments on its electric vehicle lineup mark a significant development.