Featured image: WhichCar
Tesla Model 3 has become a truly mass-market car, winning over the hearts of hundreds of thousands of people. However, it is not affordable in all corners of the world, as the price sometimes exceeds government incentive price limits, and plus, Model 3 can fall into the category of "luxury cars," which can tack on additional tax.
In Australia, Tesla Model 3 Standard Range Plus had cost more than $73,000, which in some states, automatically placed the purchase in a more expensive luxury tax bracket, further adding on to the owner's out-the-door cost. However, recently Tesla has once again revised its pricing policy, which gave consumers new opportunities.
@ _TeslaTom/Twitter, New South Wales resident reports that the price of Model 3 Standard Range has now dropped below $72,000, freeing new buyers from luxury car tax. The move will significantly expand the market for the Model 3 in Australia, leading to increased demand for the vehicle.
Thank you @elonmusk for dropping Model 3 SR+ starting price in NSW, Australia to under $72k ... which means no luxury car tax! This will open up the market to a lot more buyers! 🚘🇦🇺😃 pic.twitter.com/DBdVIFuaUr— Tesla Tom 🇦🇺 2020.40.4 🇦🇺🥳 (@_TeslaTom) October 16, 2020
While critics say Tesla is driving car prices down because of demand problems, they are missing an important point. The company aims to accelerate the world's transition to sustainable energy, which in turn requires the fastest possible transition to electric vehicles from internal combustion engine vehicles. That is why Tesla is lowering the prices of cars. Doing so is a fundamental step in Tesla's mission to help make EVs available to the masses.
It is also noteworthy that, the company's ability to lower prices didn't just happen accidentally, without thought. Tesla is able to lower the prices on its products because of its relentless, constant focus on improving quality, reducing production costs--all while ramping up to truly massive scale. Within a few years, Tesla will present an affordable $25,000 car that will likely render a dire prognosis for the gas-powered vehicle.
© 2020, Eva Fox. All rights reserved.
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About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.