On April 19, Tesla, owned by Elon Musk, reduced the prices of three out of its five models in the US and later globally, including China and Germany. The Model Y, Tesla’s most popular car and the leading electric vehicle in the US, saw a price cut, along with the older and pricier Models X and S. The prices for the Model 3 sedan and the Cybertruck remained unchanged.
The starting prices for the Model Y, S, and X were adjusted to $42,990, $72,990, and $77,990, respectively. Tesla also lowered the cost of its “full self-driving” driver assistance software from $12,000 to $8,000 in the US on April 20. In China, the price of the redesigned Model 3 was reduced by 14,000 yuan ($1,930) to 231,900 yuan ($32,000), according to Tesla’s website.
Investors have criticized Musk, claiming he is overextended, especially after he acquired Twitter in 2022, rebranding it as X. Meanwhile, Tesla has urged its investors to support Musk’s $56 billion compensation proposal, which was rejected by a judge this year, describing it as an “unfathomable sum.” Musk, who was supposed to visit India on April 21 and 22, postponed the visit, citing “heavy Tesla obligations.” The electric vehicle maker will report its earnings on April 23.