Tesla bumps Model 3 and Model Y prices by more than 4%

Tesla model 3 cornering front

Boss Elon Musk previously blamed the growing cost of lithium amid worries of long build delays

Tesla has upped the prices of the Model 3 and Model Y in the UK by more than 4% – or an average of £2300 – and taken the Model S and Model X off sale as it battles production setbacks.

The American electric car maker has bumped the entry-level rear wheel-drive Tesla Model 3 saloon up by £2500 from £45,990 to £48,490

Meanwhile, the long-range variant of the Tesla Model Y SUV has risen by £2000 from £55,990 to £57,990.

Customers could also be in for a long wait for their new cars: Model Y deliveries aren’t expected until October and Model 3 buyers will have to wait until the new year.

Last month, Tesla boss Elon Musk confirmed the firm could stop taking orders for certain models in an effort to combat lengthy, supply-related lead times, which he blamed on its ongoing parts-supply issues. 

This has led to both the Tesla Model S saloon and Tesla Model X SUV being taken off sale, with prospective buyers asked to pre-order a vehicle.

Tesla’s website adds that “pricing and options will be finalised as delivery approaches”.

Before being taken off sale, the Model S was priced from £83,980 and the Model X from £87,980.

The news follows a similar price hike in the US, with Reuters quoting Musk as blaming the growing price of lithium – which is a key component in EV batteries – as being responsible for cost increases.

Musk added this was “a limiting factor” to EV growth, encouraging car makers to get into the lithium business.

At the recent Financial Times Future of the Car summit, he said: “I’m confident we will be able to sell all the cars we can make. Currently, the lead time for ordering a Tesla is ridiculously long. Our problem is not demand, it is production.” 

Autocar has contacted Tesla for comment on the reasons behind the UK price rise. 

Source: Autocar

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