Tesla Chief Executive Elon Musk says the increasing prices for his company’s electric vehicles are due to rising materials costs.
Tesla has now increased the price of the vehicles five times in the last few months. When a Twitter user complained, Musk offered an explanation.
“Prices increasing due to major supply chain price pressure industry-wide,” Musk said on Twitter. “Raw materials especially.”
Musk also elaborated on the company’s decision to remove lumbar support from the passenger seat of Model 3 and Model Y vehicles.
“Logs showed almost no usage,” Musk said. “Not worth cost/mass for everyone when almost never used.”
Musk mentioned supply chain issues during Tesla’s Q1 earnings call.
“So Q1 [had] some of the most difficult supply chain challenges that we’ve ever experienced in the life of Tesla and same difficulties with supply chain, with parts — over the whole range of parts,” Musk said on the call.