Tesla (NASDAQ:TSLA)
Reuters reports that data from Tesla (NASDAQ:TSLA) website on Friday indicates the company has reduced the prices of its electric cars in Europe, Israel, and Singapore. This follows a similar discount campaign initiated in China back in January. As a result, Tesla stock declined in the market.
The producer of electric cars lowered costs in many European nations, most notably Germany and France, due to ramping up production and improving manufacturing capacity.
According to the information posted on the company’s website on Friday, Tesla lowered the price of the Model 3 in Germany by 2,000 euros, or 4.5%, to €41,990 and the price of the Model Y Performance by 9,000 euros, or 9.2%, to €60,990. This is the second price drop for Tesla vehicles this year, after a 1%-17% reduction in January.
Prices in Germany for the long-range and performance versions of the Model 3 have dropped to €54,990 (down 9.8 percent).
According to the Singaporean version of its website, prices for the Model 3 and Model Y have been cut by 4.3% and 5%, respectively.
After an initial wave of price cuts throughout the globe in January, Tesla followed suit in Israel, slashing the price of the basic Model 3 with rear-wheel drive by 25%.
Since the beginning of the year, Tesla has dropped the price of its basic Model 3 by 11% in the United States, while its base Model Y has dropped by 20%.
The company’s Q1 deliveries climbed by 4% despite discounting efforts in the US, China, Japan, Australia, and South Korea.
The Model 3 Performance edition will have a sticker price drop of 14.7%. In comparison, the Model 3 with an extended range will get a discount of 11%, according to a story in the Hong Kong Economic Times from earlier this week. The report claims a 9% price cut would be implemented for Model Y.
Meanwhile, organizers of China’s biggest annual car show have announced that Tesla will not be at the exhibition in Shanghai next week (April 18-27).
Next week, the business will announce its financial results for the first quarter.
Premarket Tesla stock prices are down 1.5%.
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