Tesla has authorized its sales staff to offer 10,000 free Supercharging miles to customers who take delivery by the end of the month as it tries to create some urgency for buyers to take delivery.
As we have recently reported, Tesla is having some rare demand issues lately – especially in the United States due to special circumstances.
It has been years since Tesla hit 200,000 deliveries in the United States, which meant the company no longer qualified for the US federal tax credit for electric vehicles. But Tesla buyers are expected to regain access to the incentive, which is valued at up to $7,500, soon.
The catch is, they need to take delivery of their vehicles on or after January 1 to qualify.
This situation is incentivizing buyers to wait until after the new year to purchase a Tesla vehicle in the United States. We reported last month that it also contributed to an increase in cancellations as Tesla is not allowing buyers to delay orders to get them next month.
Earlier this month, we learned that Tesla started offering a $3,750 discount to buyers in the United States in order to combat this issue.
Now we learn that Tesla is throwing another incentive into the mix to encourage buyers to take delivery this month.
Sources familiar with the matter told Electrek that Tesla authorized sales staff to offer 10,000 free Supercharging miles (or km) to buyers taking delivery this month.
Here are the details of the incentive:
Valid for all models
Valld for new titled vehicles only
Free Supercharging miles/km must be used within two years of delivery date
Free Supercharging is non-transferable
Stackable with other incentives/adjustments unless stated
Tesla used to often offer free Supercharging miles as an incentive, and we learned that it plans to bring this approach back as part of its new Loyalty Program.
However, 10,000 miles is a better offer than usual. The incentive is worth about $500, depending on your vehicle and market since efficiency varies per vehicle and Supercharger prices vary per market.
Interestingly, the incentive is not only for the US market as buyers confirmed to Electrek that Tesla has made the offer in the UK also.
Electrek’s Take
This is another piece of evidence that Tesla is currently having some demand issues.
In the United States, the main reason is fairly clear: the impending updated federal tax credit. In this case, demand should revert to it’s prior strength next month once the credit is in place.
However, we can’t be blind to Tesla potentially facing other issues. First of all, its production capacity has increased significantly over the last few months, and there’s a possibility that demand hasn’t followed.
The other main concern that is harder to track is that people’s opinion of Tesla has been affected by Elon Musk’s Twitter antics. Is it affecting Tesla to the point that the automaker is having to come up with new incentives to create demand? It’s a real possibility.
However, in the United States, I think the tax credit is having a bigger impact right now.
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An Exxon gas station is seen in the Brooklyn borough of New York City on Oct. 6, 2023.
Michael M. Santiago | Getty Images
Exxon Mobil beat third-quarter earnings expectations, as the oil major reached its highest liquids production level in more than four decades.
Here is what Exxon reported for the third quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
Earnings per share: $1.92 adjusted, vs. $1.88 per share expected.
Revenues: $90 billion, vs. $93.94 billion expected
The oil major booked net income of $8.61 billion in the quarter, or $1.92 per share, down about 5% compared to $9.1 billion, or $2.25 per share, in the year-ago period. Exxon’s profits have declined as refining margins and natural gas prices have pulled back from from historically high levels in 2023.
The company returned $9.8 billion to shareholders in the quarter and increased its fourth-quarter dividend to $0.99 per share.
Exxon said it has reached its high production level in more than 40 years at 3.2 million barrels per day.
The oil major’s stock rose about 1% in pre-market trading. Exxon shares have gained 16.8% this year.
This is a developing story. Please check back for updates.
Chevron beat third-quarter earnings and revenue expectations, returning a record amount of cash to shareholders.
Shares were up 2.6% in the premarket following the report’s release.
The oil major’s quarterly profit, however, declined substantially compared to the year-ago period due to lower margins on refined product sales, lower prices and the absence of favorable tax times.
Chevron is aiming to streamline its portfolio, with asset sales in Canada, Congo and Alaska expected to close in the fourth quarter of 2024. The company is also target $2 billion to $3 billion in cost reductions from 2024 through the end of 2026.
Here is what Chevron reported for the third quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
Earnings per share: $2.51 adjusted, vs. $2.43 expected
Revenue: $50.67 billion, vs. $48.99 billion expected
Chevron’s net income came in at $4.49 billion, or $2.48 per share, down 31% from $6.53 billion, or $3.48 per share, in the third quarter of 2023. When adjusted for foreign currency impacts, the company reported earnings of $2.51 per share, solidly topping Wall Street’s expectations for the quarter.
Chevron booked revenues of $50.67 billion, also beating Street expectations but declining 6% from the $54.1 billion reported in the third quarter last year.
The oil major returned a record $7.7 billion to shareholders in the quarter, including $4.7 billion in share buybacks and $2.9 billion in dividends.
Chevron produced 3.36 million oil-equivalent barrels per day in the quarter, a 7% increase over the third quarter of 2023, driven by record output in the Permian Basin.
Chevron’s stock is largely flat for the year, underperforming the S&P 500 energy sector which has gained more than 6%. Shares have struggled to gain ground as uncertainty looms over the company’s pending $53 billion acquisition of Hess.
The Federal Trade Commission has cleared the deal, though it prohibited John Hess from joining Chevron’s board.
Chevron remains locked in a dispute with Exxon Mobil, which is claiming a right of first refusal over Hess Corp.’s lucrative oil assets in Guyana. If an arbitration court rules in Exxon’s favor, Chevron’s acquisition of Hess would fail to close.
ZEEKR EV cars are displayed at the 45th Bangkok International Motor Show in Bangkok, Thailand, March 25, 2024.
Chalinee Thirasupa | Reuters
Chinese electric carmaker Zeekr said Thursday its deliveries surged by 92% in October from a year ago, helping the company clock its best month at 25,049 vehicles.
The company has reportedlysaid that it expects to deliver 230,000 cars in 2024. With only two months left in the calendar year, that means Zeekr needs to deliver more than 31,000 cars in November and December each.
The Geely-backed automaker began deliveries of its new five-seat SUV Zeekr Mix on Oct. 23.
Xpeng also beat its personal best for a second straight month, delivering 23,917 vehicles in October. The deliveries included the company’s mass-market car, Mona M03, accounting for over 10,000 units.
Xpeng launched Mona M03 in late August with prices starting at $16,812.
Li Auto, whose cars mostly come with a fuel tank to extend the battery’s driving range, delivered 51,443 cars, slightly lower than its record month in September.
BYD and Aito had not yet released their October deliveries as of Friday afternoon.
Earlier in the week, Chinese smartphone and home appliance company Xiaomi said it delivered more than 20,000 electric vehicles in October.
The company only launched its first car — the SU7 — in late March.
Xiaomi aims to deliver 100,000 electric cars by the end of November. The company has delivered more than 75,000 cars as of October.