We're heading to crunch time for the Model 3.
Despite the tax rebate on Tesla vehicles running out on the last day of this year, Tesla appears confident that the Model 3 will keep selling, as suggested by these latest price changes. It has added $500 to the Standard Range Plus model, bringing its price to $39,990. With the dual-motor AWD system, that brings the Standard Range Plus model to $48,990. The Model 3 Performance doesn't get a price adjustment and remains steady at $56,990.
We say Tesla appears confident in the Model 3's ability to keep selling as not only are the tax credits disappearing completely on December 31, but Tesla is also aiming for 360,000 to be sold by the end of the year. Putting the price up for the Model 3 suggests everything is going well, and Tesla isn't finding itself on a desperate last charge to get them into customer's hands. Those that are thinking of pulling the trigger on a Model 3 will be eligible for a $1,875 Federal Tax Credit if they take delivery before year-end.
It might be a slightly different story in 2020 unless one of the bills aiming to modify the electric-car tax credit program Tesla and GM are pushing to be accepted goes through congress. It's possible that's what Tesla is pinning its hopes on, but nothing looks like it's on the verge of being signed right now. GM is finding itself in the same boat, having busted through its 200,000 electric vehicle ceiling. Those that are now seriously entering the electric vehicle market in the US, or have been experiencing slow sales, should find the playing field is more weighted to their advantage.