Is there any reason to cry that Tesla dumped prices overnight? What consequences does this have for us car buyers? Tesla has done it before, and will do it again. I'm laughing - read why.
A slap in the face?
The announced tax changes meant that many were in a hurry to order and have an electric car delivered before the New Year. Last year's best-selling car was the Tesla Model Y. From January 2023, the price of the Long Range AWD rose by NOK 33 due to taxes. "Money saved", probably thought many new owners. But the joy was short-lived. Just 14 days later, Tesla lowered the price of the same model so that the retail price was NOK 104 lower, - or NOK 995 compared to the price before the New Year. It's hardly a disaster, but it doesn't give a good feeling either.
Price reduction in kroner
It is easy to get confused by the frequent price changes. I have taken as a starting point the car prices for a ready-to-drive car - exclusive of winter tires and extra equipment. The prices before the turn of the year is picked up from Bilnytt.no - period today prices are taken from BilNorge.no - all numbers with presumed origin from OFV.no. Subject to errors, the figures are intended to show the effect of Tesla's price reduction seen in relation to the prices before the tax change. It is the material moisture meter shows you the which applies to the vast majority.
| Model | Price now * | Change in January 2023 | Change from December 2022 |
|---|---|---|---|
| Model Y SR RWD | 420 000 | -125 000 | -102 390 |
| Model Y LR AWD | 490 880 | -104 995 | -71 510 |
| Model And Performance | 580 310 | -65 790 | -22 080 |
| Model 3 SR RWD | 388 140 | -50 000 | -34 250 |
| Model 3 LR AWD | 489 190 | -36 708 | -18 200 |
| Model 3 performance | 553 400 | -9 537 | +16 010 |
* Prices include VAT, weight tax and scrap deposit. Tesla quotes its prices without taxes.
Affects the used car trade
- "Many people laugh at Elon Musk's many stunts in the car industry, but everyone who has an electric car in their garage should cry. We have spent ten years building up the company and then the angel of death Elon Musk spends a day bringing us down, says owner and CEO Magnus Grosseth in the used car shop K Bil på Rud to Finansavisen" (quote Budstikka.no)
Several independent car dealers hastily imported the Tesla Model Y for sale to customers before the tax change. At the moment, there are 104 brand new, fully registered cars out there Finn.no bought in and priced before Tesla lowered the prices. Dealers, such as K Bil, may lose millions due to the price reduction. This is not Tesla's business, but that can touching everyone who has a Tesla in their garage. Since Tesla Norway does not take trade-in cars, the owners have to sell the cars themselves. After what has happened, serious used car dealers hardly dare to sit with particularly many Teslas in stock. It's bad news for today's Tesla owners when they have to sell.
Opens for new times
There are many things in society that have changed, for example in tourism. The car industry, on the other hand, is in the same place as when I bought my first new car from Chrico, Ensjø, in the early 1980s. One of the factors that has hampered development in the car industry is the large, powerful and static dealer chains. Tesla's price changes have unfortunately hit several independent dealers hard. They have also given many Tesla owners a slap in the face. But I laugh out loud when I think about that Elon Musk is in the process of speeding up a reform in the industry that could have been carried out several years ago - and which consumers will ultimately benefit from.
The large dealer chains, tied to stocks of used cars and leased cars, cannot follow Tesla's price reductions without heavy losses. Maybe smaller, new players can?
Tesla has done it before
If you bought a Tesla Model 3 in Q3 2020, you bought at an "all time high". The dollar exchange rate was high, and Tesla prices increased. But then Tesla opened its new factory in Shanghai and more Teslas than ever rolled out. Norway got cars from China and the prices were lowered - not just once. It has never been cheaper to buy a Tesla. Last autumn, Tesla's Gigafactory opened in Berlin and we are seeing the same thing happen again. Tesla does not produce cars for long-term storage. They will be issued in the same quarter - whatever the cost.
Will Tesla lower prices again?
Guaranteed!
See
InsideEVs.com – Tesla Giga Berlin Production 3000 Cars per Week
Hey
Is "Price now" correct? I don't get these prices on Tesla's website.
Arne etc
The prices on Tesla's pages do not include VAT, weight tax, scrap deposit and Tesla's delivery fee. I don't think these additions appear before the car is registered. It is therefore easy to lose track of the price picture.
Yes, difficult to set up is the correct calculation. NOK 431845 for a Model Y SR today. Think it is closer to the truth than 420000?
If we enter the Model Y SR with a net weight of 1909 kg on the Tax Agency's calculator, we end up with NOK 20.012 in taxes (weight + wreckage) and a total of 399.990 + 20.012 = 420.002. The prices in the article come from OFV and do not include preparation, winter tires and paint supplement ++, which are also added.
https://www.skatteetaten.no/person/avgifter/bil/importere/regn-ut/