Tesla has increased prices on its Model 3 electric sedan by $400 across all three of the variants in Australia. Prices on the Model 3 variants now start at:
- RWD – $61,300 (up $400)
- Long Range – $74,300 (up $400)
- Performance – $87,300 (up $400)
The change comes after a series of price cuts earlier this year which started off in early January. In between that, there were small incremental increases as well, just like this price increase of $400 across the three variants of Australia’s best-selling EV.
The delivery time also remains under 7 weeks for new orders. The earliest delivery dates appear to be before the end of this financial year. The same delivery times were up to 11 months, the same time last year for some order holders.
It also appears that Tesla has significantly reduced the local inventory of its Model 3. At the time of this article, there were not new Tesla Model 3 available in inventory across the country. Late last week over 100 new Tesla Model 3 and Model Y cars were available.
Now in some states like Victoria, no Tesla Model 3 EVs are available for sale. It’s the first time in weeks that Tesla Model 3 inventory has been this low which is a sign that possible large deliveries are on their way in May and June.
At the time of these price increases this week, Tesla has also increased prices in other markets like the US and China.
This move may prompt some buyers who were waiting for another price cut to purchase a Tesla before prices go up again.
If the pricing increase is being used to prop up demand in the short-medium term, it could work well to nudge more buyers to make the purchase this quarter instead of hoping for more price cuts in the coming months.
Overall, Tesla’s demand remains high but so is the demand for its electric vehicles. It shows the brand’s market power to make changes to pricing if and when necessary.
