Cars

Tesla Model 3: Missing Tax Incentive Will Paralyze Sales

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In less than a fortnight from now, Tesla will begin distributing the Model 3. The first batch is confirmed to get released on July 28 but it won’t immediately reach out to the 300,000 individuals that have placed an order on the car.

Despite having the potential to become the biggest volume EV yet, the Model 3 is unable to provide assurance on the sales front. We say so because sales of Tesla cars have been going in a sharp decline in recent months over in Denmark and Hong Kong, and it is caused by the axing of tax incentives.

The rebates offered to new EV buyers have expired and it immediately killed off interests towards the cars from Tesla. Without the rebates, the vehicles from Tesla are more expansive to own and the consumers don’t see any value to it as there are more affordable EVs out there.

The axing of rebates and tax incentives have yet to occur here in the US but when it does, we can expect sales of the new Model 3 to get paralyzed. Perhaps the happening can force Tesla into revising the price of its vehicle.