Tesla offers big car discount, a ‘sign of demand cracks,’ analyst say

Crochet Chic Mira

12/22/2022 

Tesla is offering large discounts on two popular electric car models as the company continues to face a rocky road.

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Customers who take deliveries of a Model 3 sedan or Model Y SUV by the end of the year can receive a $7,500 discount, doubling the company’s $3,750 offer from earlier this month.

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Tesla shares are down 60% since CEO Elon Musk announced in April his plan to buy Twitter. He completed the $44 billion deal in late October.

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The Model 3 starts with a $48,000 price tag before discounts, while the Model Y goes for $67,000.

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The Tesla vehicles are expected to be eligible for a $7,500 tax credit in the new year after being ineligible in 2022 due to the company having sold 200,000 models — a limit that’s being eliminated.

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Telsa aimed to increase its sales by 50% this year and could be using the discount to move more cars.

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Investors have expressed concern Musk is dedicating his attention to Twitter while Tesla suffers as a result.

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Musk plans to step down as Twitter’s CEO once he finds a replacement, he said Tuesday. Musk promised to adhere to the results of a recent Twitter poll asking whether he should leave the job, with more than 57% of participants voting yes.

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