Tesla Cuts More Models’ Prices
Adjustments part of industry price war it started as it looks to increase demand.

Model X base price was slashed about 9% to just under $100,000.
IMAGE: Pixabay/lobpreis
Tesla cut the prices of its most expensive models in order to drum up more business, further stoking a price war it started with aggressive price adjustments in January.
The Model S sedan’s base price fell about 5% to a hair under $90,000, according to its website, and the Model X sports utility vehicle’s base price dropped about 9% to just under $100,000.
The cuts follow those it made to its top-selling models, the Model Y and Model 3, in January, of 20% and 14%, respectively. Some analysts theorized that it did so to help buyers qualify for a federal tax credit, to better compete with rivals, and to counter falling demand.
Since Tesla started cutting prices, other carmakers have followed suit, including Ford, which dropped its electric Mustang Mach-E price up to 8%.
Tesla appears to be making moves to cut production costs to match the price decreases, including working to create an EV motor that doesn’t require the types of materials that have been in short supply during pandemic-fueled shortages.
DIG DEEPER: Tesla Prices Best Rivals'
Originally posted on Auto Dealer Today
More Showroom

State Follows Federal Warning on Auto Ads
The Massachusetts attorney general cautioned the state’s automotive dealers to be upfront with the consuming public about their vehicle prices or risk punishment.
Read More →
European EV Market Hits Record
Seven out of the top 10 electric vehicles sold so far in 2026 in Europe are by European brands, and automakers are seeing the power train fill up their order books.
Read More →
Used EVs Outpace New
While North American electric-vehicle sales remain down year-over-year, May sales saw a 3% increase from April’s numbers as used EVs led the market.
Read More →
New Vehicles Down for Most Brands
Healthy May sales cut into inventory as automakers kept a tight reign on supply, though some brands ended the month with excess units on the ground.
Read More →
Auto Prices Ride May Moderation
Flat ATPs and asking prices clocked in below long-term averages for the month, though some segments saw significant price gains, reported Cox Automotive.
Read More →
Mitsubishi Sets Growth Strategy, Structural Transformation
The Japanese automaker aims to 'strengthen products and technologies that embody its brand identity,' focus on its strongest markets and expand value-chain businesses 'that leverage its unique strengths.'
Read More →
Affordable, Safe Cars for Teen Drivers
Families looking to balance affordability and safety in vehicles for their teen drivers can look to the updated list of recommended vehicles by IIHS and Consumer Reports.
Read More →
Auto Dealers Feel Better But Not Great
A second-quarter Cox Automotive poll of franchised retailers and independents found better views of the current market after a good spring but anticipation of third-quarter storminess.
Read More →
Holman Opens Porsche Dealership in Miami
The North Miami store features the brand’s signature Destination Porsche design concept, combining contemporary architecture and technology to create what the auto group calls an ultra-luxury experience.
Read More →
Chicago to Gain Cadillac Rooftop in 2027
The two-story Cadillac dealership is being constructed at the former Lincoln Yards site, owned and operated by Canada-based Jack Carter Auto Group.
Read More →