Tesla doesn’t believe in discounts. But at the end of the year, the e-car manufacturer lures with strong price reductions for popular models and free fuel offers. There is no official explanation, but in the audio chat of his new company Twitter, Tesla boss Musk mentions a possible reason.
Tesla is offering hefty discounts on two models in the US through the end of the year. Anyone who buys a Model 3 or Model Y between December 21 and December 31 saves $7,500, billionaire Elon Musk’s company writes on its website. In addition, new customers can refuel for free for 10,000 miles – the equivalent of more than 16,000 kilometers.
According to the financial portal Bloomberg, Tesla has doubled its discounts for the popular models compared to the beginning of the month. The discount is described as highly unusual because Musk himself is considered to be an advocate of a zero discount policy. The trend reversal is therefore taken as a sign that demand at Tesla is falling. In the important Chinese market, the electric car manufacturer has been advertising with strong discounts for several weeks.
There is no official confirmation of this reading. However, in an audio chat from his new company Twitter last night, Musk indicated that he expects a “serious recession” and low demand for cars in the coming year.
It was already reported on Wednesday that a wave of layoffs is threatening Tesla in the coming year. Last June, Musk had already announced that around the jobs would be cut within three months. Analysts recently cut their price targets for the share, citing fears that demand in China will slow down deliveries in the coming year.
Shares in Tesla, the world’s most valuable automaker, have been among the worst-performing stocks among major automakers and tech companies this year. On Thursday, the course fell again by 8.9 percent. Overall, Tesla shares have already fallen more than 60 percent this year.
Many investors are frustrated because Musk has spent a lot of time as head of the short message service since taking over Twitter. In order to make the $44 billion purchase, he also had to sell almost $40 billion in Tesla stock, although Musk has repeatedly indicated that he will not do so. The billionaire also lost the unofficial title of “Richest Person in the World” this year after buying Twitter and the price slide at Tesla.
