According to media reports, on October 7th local time, the manager of Tesla’s Berlin, Germany factory stated that the all-new simplified Model Y will be “about 10% cheaper.”
Due to the expiration of the US federal tax credit policy of up to $7,500 this month, Tesla has launched this more affordable model to offset the impact. This model will have some features removed and use fewer high-end materials.
Tesla set a record for deliveries in the third quarter, but this performance was partly due to the “stock-up effect” before the tax credit policy expired. The advance release of Tesla’s demand may put pressure on sales growth in the coming months, and launching a low-cost model is precisely the strategy prepared to alleviate this pressure.