Tesla (NASDAQ: TSLA) stock made headlines on Tuesday as the electric vehicle titan hiked up Model Y prices in select European countries overnight. This move comes shortly after the company slashed prices for its best-selling EV in Europe less than a month ago and temporarily reduced prices in the United States just days prior.
Tesla (TSLA) has increased the price of its Standard Range+ Model Y in Germany by 2,000 euros, bringing it to 44,990 euros. Additionally, the Long Range and Performance variants have seen a price hike of 2,500 euros each, now priced at 52,490 euros and 58,490 euros, respectively.
This adjustment follows a prior price cut on January 17, with the Model Y SR+ reduced by 1,900 euros and the other two variants lowered by 5,000 euros. Similarly, Tesla has revised Model Y prices in Norway, with increases from 3.9% to 5.3%, following reductions of 5.6% to 7.1% in mid-January. Despite the recent adjustments, prices remain slightly lower than before the January 17 cuts.
Tesla’s Berlin plant resumed production activities on February 12, following a two-week suspension attributed to parts shortages caused by shipping delays in the Red Sea. However, concerns were raised about high Model Y inventories during this period.
The price increase decision comes as Tesla is witnessing a downward trend since the beginning of 2023.
On Saturday, Tesla announced a temporary $1,000 reduction for its Real Wheel Drive and All Wheel Drive Model Y variants in the United States, valid until February 29. However, Tesla continues to offer significant discounts on Model Y inventory compared to current list prices.
In a separate move, Tesla had raised the Model 3 Long Range price in the U.S. by $1,000 just a week before the latest adjustments in the Model Y lineup.
Tesla (NASDAQ: TSLA) Stock Movement
TSLA stock fell 2.18% to close at $184.02 on Tuesday. The traders had exchanged hands with 86,480,540 (86.48 million) shares compared to the average daily trading volume of 115.23 million.
Edward Cooke is a financial analyst, freelance writer, and editor. He has six years of experience in financial journalism. He has an in-depth understanding of equities markets, tracking major indices and providing real-time analysis on stock price movements, corporate earnings, and market sentiment.
