Lower Model 3 prices can’t prevent Tesla’s slide by 3% after deliveries fail to impress; Tesla opens orders to Europe and China

Tesla Inc. (TSLA) values plunged in trading after news it was cutting prices on the Model 3 to make up for the reduced federal tax credits in the U.S. On the other hand, Tesla confirmed receiving nearly 14,000 Model 3 orders for Europe — which has become a focus for the company. Orders are also open to China.

Tesla declined in share values against slightly dissapointing Model 3 deliveries due to the loss of federal tax credits.

 

With 56,065 Model 3s delivered, less than the projected 63,150, Tesla was at 300.51, down 3.19% as of January 3, 2019. Aside from delivery issues, U.S. demand is down after the $7500 federal tax credit was eliminated.

The $2,000 price cut on all three models — meant to help compensate for the reduction in federal tax credits for EVs — seems to have reinforced negative sentiment, or at the least made little impact on confidence. Investor’s still don’t know if Tesla will be profitable, and may not know for some weeks, although it did build 61,394 Model 3s in the last three months.

 

The unique interior of the model 3.

 

The main focus of Tesla will be filling Model 3 orders, especially in Europe and China — in part to offset the loss of revenue in the U.S.

On the Model S and Model X, 2018 also fell slightly short of the goal of 100,000 deliveries, although it was closer with 99,394 confirmed deliveries.

 

Did you miss this?

Other Popular Stories

  • June a very good month for manufacturers
  • Canadian car sales break record amid concern about investment in the industry
  • 21 auto parts companies in Ontario invest in new technologies with help from Ontario Government
  • SpaceX and ULA Score Major Air Force Contracts
  • Advanced manufacturing initiatives to drive innovation, growth
  • Detroit Auto Show Highlights
  • Scientists Improve Behavior of Quantum Dots
  • Petronas deal could get LNG moving in Canada
  • Quebec aerospace industry focused on US growth
  • Demand for 100K engineers over next ten years in Canada
  • Manufacturing closer to stabilizing in January: report
  • Infrastructure investment must be smart, forward-thinking: report
  • NASA Discovers Eighth Planet Circling Distant Star
  • Invest $50 billion in infrastructure over five years or fall further behind: Report
  • Oil & Gas Report: Iran sanctions not priced into Brent "room for a runup in prices towards the end of the year"
  • Molson Coors reports on environmental stewardship goals
  • Youth trainee program seeks to address skilled labour shortage
  • Canada could get 35 per cent of its power from wind with no disruption to existing grid: study
  • Propellant leak during emergency abort sets back Boeing's spacecraft development for NASA
  • Pressure Used to Control Properties of Graphene Transistors
Scroll to Top