Tesla Model Y Becomes Cheaper In Europe, Here's Why

JAKARTA - The Tesla Model Y now has a more affordable price in Europe, after the company confirmed it cut its price. The move also follows a price drop previously implemented in China.

As reported by InsideEVs, Friday, January 19, the price change is quite real in several countries, for example Germany, which is the largest car market in Europe, now the car is 9 percent cheaper.

Meanwhile, according to a Reuters report, the price of the Model Y in Germany for long-distance RWD was 42,990 euros, or down 4.2 percent from the initial price, while for long-distance AWD the price was 49,900 euros down 9 percent from before, and for performance types it fell to 8.1 percent.

Tesla did not explain what caused the decline, but it could be because demand in Germany decreased by 9% from year to year in 2023.

In addition, this price cut comes after the Tesla Giga Berlin-Brandenburg plant in Gr\"unheide near Berlin, Germany suspended most of Model Y production for about two weeks due to supply chain issues related to conflict in the Red Sea.

On the other hand, according to data research by Troy Teslike focused on Tesla, Tesla Model Y's shipments in Europe peaked only in Q1 2023 and have continued to decline since then every quarter. The report shows that this year ends with about 32,000 Model Ys that have not been sold in Europe (including the 10-day production hiatus in Giga Berlin in December).