Tesla recently cut the prices of its electric vehicles worldwide. The decision was made due to some reasons. However, what we are more concerned about is what effect the Tesla car price-offs will have. In fact, there wasn’t any reason to wait as it took only three days in China to increase the car orders by 30,000.

Tesla Model X
Tesla Model X

The Tesla cars’ price cut drove a significant rise in orders. In some Chinese cities, it even increased by 500% in comparison to December 2022. That’s not difficult to guess that Tesla is a buzzword in the niche. And other car brands can’t keep up with it.

This has become a true problem for Tesla itself. The pick-up cycle for Tesla Model Y before the price cut was 1-4 weeks. Now, it has become 2-5 weeks.

In the past 2022, Tesla’s global delivery volume was 1.31 million vehicles. This sounds good, but it didn’t meet the expectation of 1.5 million vehicles. So we have every reason to think that Tesla’s price cut is another tool for bringing these numbers closer.

Tesla Model Y
Tesla Model Y

In this regard, a Tesla executive said that they cut prices because they could no longer sell them. Tesla’s inventory is very transparent. Anyone can see its current production. When looking at the numbers, you can see real differences between sales and production.

As for the delivery cycle, the same person said that it has a certain relationship with effective working hours. For example, January is a holiday season. So there are only two weeks in January. This is an actual reason why the company can’t reach full production. In comparison with October, it will definitely be faster. The output at full production is different, and the corresponding delivery cycle will also be different.


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