Model 3 Gets $1,100 Price Cut

Tesla cut the price of its Model 3 sedan for the second time this year.

Last month, Tesla cut the price of its entire lineup by $2,000 to help soften the loss of the full $7,500 federal tax credit for buyers, which was cut in half last year when Tesla hit the incentive’s production limit.

The latest price change is a $1,100 reduction for Tesla Model 3 sedans.

Model 3 is now priced as such:

Mid Range: $42,900
Long Range Dual Motor: $49,900
Long Range Dual Motor Performance: $60,900

https://twitter.com/elonmusk/status/1093042991994830849

Tesla Chief Executive Elon Musk announced the price update Wednesday on Twitter. When a Twitter user asked about the company’s promised $35,000 version of the Model 3, Musk responded that “we are doing everything we can to get there. It’s a super hard grind.”

Tesla says the price reduction is related to savings from the elimination of the company’s referral program, which ended Feb. 1.

Tesla’s website now shows the Mid-Range Model 3 at $34,850, which includes $3,750 in “potential incentives” and $4,300 in “gas savings” over six years.

The site still says a Model 3 with “standard battery” will be available in four to six months, and the hope is that it will be offered for around $35,000 before incentives.

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