By Michael Elkins
Electric vehicle maker, Tesla (NASDAQ:TSLA) on Friday slashed prices or its electric vehicles in Europe, Israel and Singapore. The cuts expand a global discount drive the company began in China in January while raising concerns about its industry-leading profit margin.
Tesla has lowered the price of its Model 3 in Germany by €2,000, or 4.5%, to €41,990 ($46,462) per vehicle, according to data on its website. The Model 3 Performance version now sells for €54,990, a discount of 9.8% compared the previous price.
Tesla also cut the price of its Model Y Performance by 9.2% to €60,990. The Model Y Rear Wheel Drive and Long Range prices remained the same.
In Singapore, it cut prices of its Model 3 and Model Y vehicles between 4.3% and 5%, its local website showed. In Israel, the price of the base rear-wheel drive Model 3 was slashed by 25% after an initial round of global price cuts in January.
Tesla said on Friday it cut prices in numerous European markets including Germany and France because of a scaling up and improvement in its production capacity.
In the United States, Tesla has cut the price of its base Model 3 by a cumulative 11% since the start of the year, with a 20% reduction on its base Model Y.
Shares of TSLA are up 0.42% in pre-market trading on Friday.