Tesla move in US points to first electric car price war

Tesla Model 3 now sells for $4,930 (€4,622) less than the average new vehicle sold in the US.

It’s never been this cheap to buy a Tesla in the US. After a hopscotch of price cuts over the past month, Tesla’s Model 3 car now sells for $4,930 (€4,622) less than the average new vehicle sold in the US. That’s the cheapest price Tesla has ever had relative to the typical US vehicle, according to a new Bloomberg analysis.

It’s a similar story for Tesla’s more expensive Model Y sport utility vehicle, which started off the year with a staggering $13,000 price drop. Even before those cuts, it was the third best-selling SUV in the US last year, after the Toyota RAV4 and the Honda CR-V. Tesla brought Model Y prices back up slightly after it sold out build slots through at least the first quarter in the US.