Tesla Inc. raised prices on all its vehicles after Chief Executive Officer Elon Musk said costs were increasing at the companies he runs.
The cheapest Model 3 in the U.S. is now $46,990, according to Tesla’s website. The company raised prices 3 percent to 5 percent in both the U.S. and China, Dan Levy, a Credit Suisse analyst, said in a note to clients.
Musk tweeted earlier this week that both Tesla and Space Exploration Technologies Corp. were seeing “significant” inflation in raw materials and logistics. The electric car and rocket-making companies aren’t alone. The S&P GSCI Index — a commodity market benchmark — surged 20 percent in the first five days of the month, the biggest weekly gain going back to 1970.
Tesla & SpaceX are seeing significant recent inflation pressure in raw materials & logistics— Elon Musk (@elonmusk) March 14, 2022
This is Tesla’s second round of price increases in the last week. The company raised the price of certain versions of the Model 3 and Y on March 9 in the U.S., followed by an increase for China-built vehicles in that market on March 10.
