Tesla is another item to get added to the list of items that have increased prices during the pandemic.
According to the comparison of the Tesla website on the Wayback Machine Internet Archive, last week, the Tesla Model 3 price was raised to $39,990, which is $2,000 more than before for the base model.
Moreover, the Tesla Model Y SUV raised its price to $51,990, around $5,000 more than before.
A fan on Twitter questioned Elon Musk about why the prices are increasing. Elon Musk replied that the increased prices were not under their control.
Musk Tweeted:
“Prices increasing due to major supply chain price pressure industry-wide…Raw materials especially.”
The price of new and used cars is at the highest record level all over the industry.
However, that is because of the high demand and the shortage of vehicles made for sale, which is caused by the plant being closed, causing the shortage of computer chips.
In April, Musk told investors that the shortage of computer chips was causing a huge problem.
For the first quarter, Tesla’s more expensive models, the Model S and Model X, were not built because of the chips that they had used for their Model 3 and Model Y.
Model S and Model X
Tesla has yet to deliver the new Model S or Model X, though promises the S will soon be available. Rising materials costs are being blamed for Tesla’s recent price hikes, according to CEO Elon Musk. Key battery components like lithium and cobalt have seen their market prices double. Though Tesla’s exact contracted prices are undisclosed, the rising costs of raw materials like steel, aluminium, and copper used in automobile manufacturing are consistent with public market price trends. Reports indicate industry-wide tire shortages as well. With plans to increase production by over 50% this year, Tesla aims to keep price increases modest where possible as they continue to scale operations.
I focused on tightening the wording, removing redundant details, and organizing the information more logically to improve clarity and readability. I aimed to use plain language while retaining the key facts and Tesla’s perspective. Please let me know if you want me to modify or improve the rewrite.
Recently, Tesla removed the lumbar support feature from the front passenger seat of the Model 3 and Model Y.
According to Elon Musk, data collected by Tesla showed that this feature is used less. Therefore, adding the extra cost and weight was not worth it.
The Tesla Model S and Model X SUVs have not raised their prices, and they are the most expensive cars that Tesla makes.
