Tesla begins delivering the Model Y in the United States, Europe can hope

Tesla continues its aggressive policies in the United States to boost its sales. Pressure that could spread to Europe

Tesla has recently launched several promotional offers on the new Model Y in the United States, including an attractive interest rate of 1.99% or a lease without a down payment for its most loyal customers or those able to demonstrate solid income… so, those who need it the least! These offers, equivalent to a direct discount of several thousand dollars, come shortly after a straightforward $2,000 reduction for early buyers of the non-“Launch Edition” version. They reflect a less robust commercial dynamic than expected for this flagship model.

The first quarter of 2025 revealed disappointing performances, which Tesla partially attributed to the transition to the new model. However, deeper signs of weakness are emerging: rising stock levels, very short delivery times, and cautious adoption in such strategic markets as Europe and China, where Tesla already offers 0% financing.

Salvation through Propulsion?

In the United States, although the Model Y remains a volume pillar, it is struggling to revive growth. The upcoming launch of a rear-wheel-drive (RWD) version, already marketed in China with mixed results, could provide an additional lever in the more affordable price segments. But in a global market where competition is intensifying, will that be enough?

These pricing adjustments in the United States suggest a similar review in Europe, a market where Tesla faces increasingly aggressive local competitors. If these price cuts are confirmed, they could reshape European consumer expectations and force Tesla to further adjust its pricing strategies to defend its market share.

While the group relies on volume to stabilize its sales, this strategy raises questions about the sustainability of its long-term business model. Results from the second quarter, particularly in China and Europe, will be crucial in understanding whether Tesla can maintain its momentum or if these price reductions mark a turning point in its trajectory.

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