BERLIN, GERMANY – Electric vehicle manufacturer Tesla has raised the prices of its Model Y in some European countries, just weeks after reducing prices in the region and temporarily lowering prices in the United States.
The company increased the Standard Range+ Model Y price in Germany by 2,000 euros to 44,990 euros. Meanwhile, the prices for the Long Range and Performance variants were raised by 2,500 euros, reaching 52,490 euros and 58,490 euros, respectively. This comes after Tesla slashed the Model Y SR+ price by 1,900 euros in January and reduced the other two variants by 5,000 euros.
In Norway, Tesla raised the prices of the Model Y by 3.9%-5.3% after decreasing them by 5.6%-7.1% earlier in January. Despite the increases, the prices are still slightly lower than they were before the initial price cut on Jan. 17.
The price adjustments came as Tesla’s Berlin plant resumed production following a two-week suspension due to parts shortages caused by Red Sea shipping delays. The company attributed high Model Y inventories to the suspension.
Although Tesla’s prices have been on a downward trend since the start of 2023, the company has intermittently raised prices. In the U.S., Tesla reduced the prices of its Real Wheel Drive and All Wheel Drive Model Y variants by $1,000, but only until Feb. 29. Even with this discount, Tesla’s Model Y inventory prices remain significantly lower than the current list prices.
Additionally, Tesla recently raised the price of the Model 3 Long Range in the U.S. by $1,000. Consequently, Tesla’s stock fell 2.8% to 188.13 in Monday’s market trading.
The recent price adjustments and production challenges are indicative of the continued fluctuation and volatility within the electric vehicle market. Tesla’s pricing strategies and inventory management will undoubtedly continue to impact the company’s standing within the market, and its response to these challenges will influence its future performance.