Tesla increases prices in US, China, Japan and Canada - report
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After slashing pricing on its top-selling vehicles since the beginning of the year, Tesla (NASDAQ:TSLA) has boosted prices by up to $290 in Canada, China, Japan, and the United States, according to its website on Monday, Reuters reported Tuesday.
Tesla's website indicated that the initial price point for the base model Model Y and Model 3 in the United States had been upped by $250.
The manufacturer increased the price for variants in China, its second-largest market, by 2,000 yuan ($289), according to the website.
Tesla increased the cost of its performance Model 3 and Model Y models in Canada by $300 (or $222).
In Japan, prices for the basic Model 3 was hiked by 37,000 yen ($269).
CEO Elon Musk has stated that the company is ready to give up margin for increased sales volume, but it also wants to raise pricing again where it can to keep up with production and delivery.
In its earnings release, the company said itâs aiming to leverage its position as a cost leader as other automakers try to handle electric vehicle costs.
Despite giving discounts in the United States, China, Japan, Australia, and South Korea to encourage demand, the company's Q1 deliveries only increased by 4% to 422,875 units.
The company missed EPS and margin estimates in Q1 due to lower pricing.
Due to lower pricing and higher expenses, the company fell short of Q1 EPS and margin expectations.
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