Tesla has reduced costs across Australia to make its overall strategy to sustain demand for cars.

The cheapest Tesla model is the Model 3 sedan, is one hundred dollars less in 2023. It’s priced at $63,900, plus road costs. All-wheel drive versions are available. Prices for Model 3 Model 3 have dropped by $3202 for the long-range model (yours for $76,900 with on-road expenses) as well as $3907 in the Performance model (now $91,396 including road costs) after the tax cuts for luxury cars are taken into consideration.

Its price has been reduced. Tesla Model Y now starts from $68,900 with road-based ($3400 less than it cost just a month earlier) and the all-wheel drive performance model starts at $97,895 (down by $3717).

Popular choices like metal red and 20-inch wheel also decreased by $500, however, Tesla has increased the cost of its delivery cost (now $1400) as well as the ordering fee ($400).

The price increases come as competing machines like those from Hyundai Ioniq 5 as well as the BYD Atto 3 increased in price this year.

Tesla has also cut down the price of its vehicles in the major Asian markets, including Japan, China, and South Korea.

The majority of Tesla’s vehicles within the Asian region – which includes Australia are sourced from its factory in Shanghai, China.

Sales of the Tesla brand in China decreased in December after the expiration of electric vehicle incentives that totaled around $2700. Chinese Tesla numbers in the month of December 2022 were around 20 percent lower than those in the same period in 2021. This is what prompted the company. Reuters stated that the price cuts are “part of an effort to help stoke demand for output from its Shanghai factory, its single largest production hub”. A boost in production could stop Tesla’s declining share price which has fallen by almost 37 percent over the past month and by 68 % from the same time last year. While there are many brands with waiting lists that are approaching twelve months long, the Tesla website states that the Model 3 ordered today could be available as early as next month.