Tesla (TSLA) starts discounting new vehicles by $3,000 in end-of-quarter push

Tesla has started discounting new inventory Model Y and Model 3 vehicles again in an apparent new end-of-quarter delivery push.

While Tesla has historically often used price reductions as a way to create demand, but until recently, the automaker has refrained from straight discounts on vehicles.

That changed when Tesla started discounting new inventory vehicles earlier this year.

In recent months, prices have stabilized, and Tesla stopped offering discounts on new inventory vehicles.

But with the end of the year/quarter coming, Tesla is now going back to discounts.

In an update to the “new inventory” section of its website, Tesla has started discounting Model 3 vehicles by up to $3,000:

Those are near brand-new vehicles with low milages sold as new vehicles by Tesla with the $7,500 tax credit available.

Tesla has previously warned that it believes it will lose the full tax credit on the base Model 3 next year – creating another incentive to buy by the end of the year.

The Model Y is also now being discounted by $3,000 in new inventory:

Tesla is trying to achieve a new record level of deliveries in Q4 in order to achieve its annual guidance of 1.8 million deliveries.

Electrek’s Take

Things have been looking good for Tesla in China so far this quarter with even some price increases on Model 3 and Model Y.

In the US, Tesla’s second most important market, it’s a bit more difficult. The fourth quarter is generally pretty good with the tax credit since people taking delivery are getting to see the money quicker, but this time Tesla is working against the change to the rules that will enable point-of-sale credit next year.

It negates this usual incentive.

But I think Tesla is still likely to hit its goal this quarter. The interest around the Cybertruck is likely going to help too.