Tesla has announced major changes to the tax incentives for the Model 3, which brings pricing down significantly.
Tesla said that all three trim levels of the Model 3 now qualify for the full tax credit of $7,500, as previously, the Model 3 Performance was the only vehicle that qualified for this amount. The Model 3 Rear-Wheel Drive and Model 3 Long Range both qualified for half the amount, $3,750.
Tesla adjusts Model 3 prices amid lowered $3,750 federal tax credit
It appears Tesla is reserving vehicles with China-made batteries for other markets. It recently started shipping Model Ys from China to Canada, which may have been a strategy for reserving as many vehicles for the U.S. market that would qualify for the full tax incentive.
Previously, the Model 3 RWD and Long Range equipped LFP prismatic cells built by CATL from China, which disqualified the vehicles for the full amount.
As a part of the Inflation Reduction Act, the Biden Administration has set aside North American-produced battery cells and vehicles for government tax credits.
The adjustments to the pricing via the tax credits bring the Model 3 RWD to just above $30,000, making it the most affordable Tesla vehicle. However, some local incentives would bring the cost of the Model 3 RWD below $30,000, making it one of the most affordable EVs on the market.
The Model 3 Long Range will now be well under $40,000.
However, these prices also include the potential savings that Tesla factors in, which includes other potential incentives and estimated gas savings of $2,400.
Tesla states that the qualifying vehicles must be purchased new.
I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.
<!–
–>
- SEO Powered Content & PR Distribution. Get Amplified Today.
- PlatoAiStream. Web3 Data Intelligence. Knowledge Amplified. Access Here.
- Minting the Future w Adryenn Ashley. Access Here.
- Buy and Sell Shares in PRE-IPO Companies with PREIPO®. Access Here.
- Source: https://www.teslarati.com/tesla-major-changes-model-3-tax-incentives/
- :has
- :is
- $3
- 000
- 50
- 500
- a
- above
- Act
- adjustments
- administration
- affordable
- All
- also
- Amid
- amount
- and
- announced
- Announces
- any
- AS
- author
- avatar
- battery
- BE
- been
- below
- biden
- Biden Administration
- bring
- Brings
- built
- by
- CAN
- Canada
- catl
- Cells
- Changes
- China
- COM
- comments
- Concerns
- credit
- Credits
- down
- drive
- equipped
- estimated
- Ether (ETH)
- factors
- Federal
- fluid
- For
- from
- full
- GAS
- Government
- Half
- Have
- headline
- hear
- However
- http
- HTTPS
- if
- in
- Incentive
- Incentives
- include
- includes
- inflation
- IT
- Joey
- jpg
- just
- left
- levels
- local
- logo
- Long
- love
- lowered
- major
- Making
- many
- Market
- Markets
- May..
- model
- most
- must
- name
- New
- news
- North
- now
- of
- on
- ONE
- only
- or
- Other
- part
- performance
- plato
- Plato Data Intelligence
- PlatoData
- please
- Posts
- potential
- previously
- Prices
- pricing
- publisher
- purchased
- qualified
- qualify
- qualifying
- Questions
- range
- reach
- recently
- reduction
- relative
- s
- Said
- Savings
- set
- Shipping
- significantly
- some
- started
- States
- Strategy
- tax
- tax credit
- Tesla
- Teslarati
- that
- The
- These
- this
- three
- tips
- to
- u.s.
- under
- updated
- URL
- us
- vehicle
- Vehicles
- via
- was
- WELL
- which
- will
- with
- would
- you
- zephyrnet