The Tesla Model 3 is the latest product to fall victim to unprecedented inflation, as its price continues to soar to heights unseen.
When it comes to new cars, their prices are reaching unimagined heights. Electric vehicles have told a slightly different story, with many slowly dropping in price as they exist longer on the market. However, that’s not the case for Elon Musk’s innovative Tesla Model 3. Tesla’s cheapest model available is now more costly than ever.
After a small bump in cost, the Tesla Model 3 is now $46,990. This price increase is 34% higher than the model was valued at three years ago. On top of the insanely high price for this EV, Teslas have a plethora of additional fees imperative to purchasing the car, increasing the cost to almost $50,000.
Before the Tesla Model 3 was available on the market, it was exalted as the most affordable option for Tesla buyers. When the release information was revealed, this model was expected to cost around $35,000. Today, it flies far above that starting price by more than $10,000. Though electric vehicles are expensive, other models on the market are significantly less costly than the Tesla Model 3.
For most manufacturers, the cost of electric cars has dropped over the years. The manufactured suggested retail price for Chevrolet and Nisan electric vehicles incrementally declined between 2019 and 2022. The Chevrolet Bolt went from $36,000 to $32,495 in three years, while the Nissan Leaf went from $29,990 to $27,400. Tesla Model 3 has evaded this depreciation, for its worth seems to keep increasing over time.
Elon Musk took to Twitter to elaborate on the Tesla Model 3’s price hike. The main cause Musk concluded was “inflation pressure,” pushing up the cost for necessary materials for the electric vehicle’s production. Though the Tesla CEO has pushed up prices for his EVs before, the cars continue to sell. The Tesla Model 3 was the best-selling EV in the world last year, distributing more than 540,000 cars worldwide. Even with the costly value for Tesla’s most accessible electric vehicle, the company’s value remains unthreatened.
Tesla Model 3 isn’t the only vehicle on the Tesla roster receiving a price upgrade. Cars such as the Tesla Model X, S, and Y have increased exponentially over the last year. The X went up from $104,990 to $114,990, an increase of %9, while the S went up from $104,990 to $114,990, an increase of 5%. All Tesla models experienced a price jump between 5% and 10%, making the manufacturer’s most expensive cars even more expensive.
Tesla’s first deliveries of the Tesla Model 3 began in July of 2017. More than half a million reservations were recorded for the model before its initial shipments. Those with reservations had to wait a significantly long time since the first Model 3 wasn’t shipped out until the spring of 2019. These primary vehicles were priced at $35,000 but came with a few caveats. The cars didn’t come with autopilot, seat warmers, and had limited driving range, all standards in the Model 3 today.
Because of Tesla’s immense popularity, price hikes haven’t affected the company’s sales. Though the car corporation is hoping to make a cheaper car in the future, the Tesla Model 3 is, unfortunately, the most affordable Tesla EV you’ll be able to find.