Tesla has revised the prices for its flagship Model S and Model X vehicles after years of price rises. Now, the Model S costs just $90,000.
While experiencing supply chain issues and inflation over the past few years, Tesla has gradually raised prices throughout its entire array. This is primarily due to the company’s strong demand.
In January, Tesla finally brought about a change by lowering the prices of every vehicle in its lineup all around the world.
Since then, the car company has made a few minor price changes, mostly slight price hikes for the Model Y and small price decreases for the Model 3.
New Price – Model S & Model X
As of right now, Tesla has reduced the price of the Model S & Model X in an overnight revision to its online configurator.
• Model S Long Range AWD now costs $89,990 instead of $94,990
• Model S Tri-Motor Plaid reduced from $114,990 to $109,990
• Model X Long Range AWD now costs $99,990 instead of $109,990.
• Model X Tri-Motor Plaid reduced from $119,990 to $109,990.
Hefty Price Cuts after 2 years
Depending on the model, these are substantial price cuts spanning from $5,000 to $10,000.
These price reductions on the Model S and Model X, however, come after two years of hefty price increases following a redesign.
Tesla laboured to accelerate manufacturing of the new model of the car, leading to lengthy processing times that the manufacturer exploited financially.
How Viable is this Price Cut?
The price of the Model S is now about back where it stood in the summer of 2021 with a base price of $90,000.
It’s interesting to note that the cost of the Model S and Model X Plaids has been evened up. It has happened before, but each time Tesla has generally maintained a higher pricing for the larger electric SUV than that of the sedan, which continues to be the scenario for the non-Plaid variant by as many as $10,000, it has made little to no sense.
These recent price reductions coincide with recent updates to Tesla’s Model S and Model X. It is also highlighted that those are the first models to have a new computer and the new Tech 4 Autopilot/Self-Driving sensor suite. Tesla also somewhat updated the back of the vehicles.
All Model S and Model X cars are produced in Fremont, California, and distributed to all of Tesla’s markets throughout the world.
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