Tesla Cuts Prices

Tesla is back at it again with another round of price cuts. This time, the company has reduced the cost to consumers of its popular Model 3 and Y electric vehicles by at least $1 000, as well as knocking $5 000 off the prices of its more expensive Model S and X models.

But that's not all - Tesla has also introduced a new base version of the Model Y, now starting at $49 990. This is the second wave of price reductions for Tesla this year, with the company making similar cuts across its line-up back in mid-January. All this stems from changes to the US electric vehicle subsidy regime, which was dramatically altered by Congress last year, to favour cheaper models.

This is certainly good news for anyone in the market for a Tesla vehicle, as these discounts could make these popular cars even more affordable. It should spur rapid sales growth.

Time will tell what impact this has on Tesla's bottom line.