Tesla cuts global prices after week of crisis

Electric automotive manufacturer Tesla has cut prices of its vehicles globally after a historic week of lows.

The car company, owned by Elon Musk, has not only cut prices domestically for its five landmark vehicles but has also applied the cut rates globally, impacting the international electric vehicle market.

Tesla cuts global prices

Elon Musk’s company, Tesla, has faced a series of challenges. These include legal battles, competition from other automotive giants, and staff departures to rival AI companies. The company has decided to cut its global prices in response to these circumstances.

The effects of Tesla’s price cuts are most evident in its popular models. The Model Y, the company’s flagship vehicle and a top-seller, now stands at $42,990. The Model S and Model X have also seen significant reductions, now priced at $72,990 and $77,990, respectively.

  • Globally, Tesla made price cuts in major selling destinations. The Model 3 was reduced in price by $1,930 in China; in Germany, the same make was reduced by nearly $3,000.
  • Musk was denied a $56bn pay package by shareholders after a judge ruled that the reward for the man near the summit of the Forbes Rich List, was “unfathomable”.

This would cause Tesla’s stock value to take a significant hit as the uncertainty and chaos surrounding the company intensified. Stock over the past week has slumped to USD-12.89(8.35%), falling under the $150 mark for the car manufacturer.

As the Wall Street Journal Reported, this week culminated in the recall of Tesla’s Cybertrucks.

A leading auto safety agency has found that the accelerator pedal on the company’s flagship electric truck could become stuck. The company will move to get ahead of any legal complaints or manufacturing faults that could create legal suits for Tesla.

Musk has delayed his trip to India to focus on all things Tesla in what will be a watershed moment for the company.

Image: Ideogram.

The post Tesla cuts global prices after week of crisis appeared first on Due.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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