Tesla Making Moves
Electric vehicle powerhouse Tesla Inc (TSLA) is set to raise prices on Model Y vehicles produced in China starting next month. This decision comes on the heels of similar announcements regarding impending price increases in the U.S. and Europe.
What’s Changing?
According to a report by Reuters, the base price for China-manufactured Model Y SUVs is expected to jump by 5,000 yuan ($695) effective April 1. It remains unclear whether this price adjustment will affect all versions of the vehicle or only select models.
A Global Trend
Over the weekend, Tesla revealed plans to hike prices on its popular SUV in several European countries by approximately 2,000 euros ($2,173) on March 22. In the U.S., the company aims to raise the starting price for all Model Y variants by $1,000 starting April 1.
Significance of the Move
Tesla boasted a delivery figure of 484,507 vehicles in the final quarter of 2023. The impact of looming price adjustments and associated incentives on potentially propelling first-quarter deliveries beyond the previous quarter’s levels remains to be seen. Investors eagerly await the company’s quarterly delivery report next month.
Market Response
Following this development, Tesla saw its shares close down by 1.43% on Tuesday, settling at $171.32. Year-to-date, the stock has experienced a 31% decline, as reported by Benzinga Pro.
For more insights into the future of mobility, explore Benzinga’s coverage on the topic.
Further Reading: Tesla FSD Should Be ‘Really Shining Bright’ By Late April Or Early May, Says CEO Elon Musk
Image via Shutterstock
