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Model 3 pricing and competition

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LG seems to be the key to this. They have found a way to build batteries at a significantly lower €/kWh cost than Panasonic/Tesla, so even at lower volume cars using those batteries are beating the M3 on range/price.

Maybe. The GM contract with LG that got leaked with the low price a while back locked GM into the price for an extended period if I remember right. Perhaps LG is taking a loss early in anticipation of making it up in the later part of the contract.
 
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LG seems to be the key to this. They have found a way to build batteries at a significantly lower €/kWh cost than Panasonic/Tesla, so even at lower volume cars using those batteries are beating the M3 on range/price.

LG isn't producing mass market volumes, so its unlikely they are beating Panasonic on price today.

The leading EV battery makers in 2025 will be providing similiar value to their auto maker clients. Anyone lagging behind will be left behind. There will likely be several different cell technologies in wide usage in cars.
 
The M3 SR is supposed to start at $35k, for a 50kWh battery and no extras.

Well Hyundai is shipping the Kona EV with a 68kWh battery (64kWh usable), and the top spec model with steering assist, ventilated seats, Android Auto, 100kW charging etc. is also about $35k.

Kia is releasing the Niro in a similar price bracket and Nissan are launching the Leaf 60, both with the same battery pack as the Kona.

Given that by the time Tesla actually gets around to making any M3SRs are we likely to see a price cut given the low range? For that matter, what about the LR version which is closer to these cars in terms of range (only 7kWh more energy)?


$39,813 is currently the estimated sticker price for the base 68kWh Kona in the USA. How is that "about 35K?" I think you must have been absent from your math class when rounding up or down was explained.
 
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$39,813 is currently the estimated sticker price for the base 68kWh Kona in the USA. How is that "about 35K?" I think you must have been absent from your math class when rounding up or down was explained.

Mixing up currencies and tax breaks. In the UK the top spec is £31k after the £4500 tax break. That's and $35k, or at least I'd expect a $35k M3 to cost about £31k in the UK all said and done.
 
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Can't say I am a fan of the Kona's interior.

large-31794-2019konaelectric.jpg
 
Korean cars typically offer lower selling prices than their competitors. Few would choose them if the prices were the same as a Honda, Toyota or Tesla.

They also tend to have horrible resale values, so their Total Costs of Ownership are often higher than others.

An out of warranty Korean car does not sell for much.
 
Can't say I am a fan of the Kona's interior.

large-31794-2019konaelectric.jpg

Found the below for the Kona EV. I could be a big fan of the interior depending on how much the Kona EV costs in the US.

2019_kona_electric_reveal_gallery_800x450_03.jpg


They also tend to have horrible resale values, so their Total Costs of Ownership are often higher than others.
Sounds like there could be some really good EV bargains then in the used Korean EV market.
 
Tesla believes the Model 3's competition is BMW 3 series, Audi A4, and Mercedes C-class. They priced accordingly.

Unfortunately people only look at range to compare EV's (Model 3 vs Bolt vs Leaf). When I see those, to me it's basically BMW 3 series vs. Honda Fit vs Corolla Hatchback. I never seen 3 different car segments compared like that before
 
Kona EV and Niro EV likely cross shopped to Bolt and likely new Leaf at 200 miles range and CUV style. I think it’s awesome but not likely to take away from Tesla model 3. Maybe in near future model Y. At $35K one can get fully loaded accord or camry as mentioned or majority of PlugIn Hybrids. I am a fan of Tesla
 
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Unfortunately people only look at range to compare EV's (Model 3 vs Bolt vs Leaf). When I see those, to me it's basically BMW 3 series vs. Honda Fit vs Corolla Hatchback. I never seen 3 different car segments compared like that before
I don't think range is that significant of a factor. If it was the people on the waiting list would just buy the Bolt. I think brand name is the much more important when it comes to big purchases.