News

Tesla’s Price Cut Sparks Competition Among European Carmakers

1 Mins read

European carmakers experience stock decline as Tesla reduces prices in Germany

Shares in European carmakers took a hit on Wednesday following Tesla’s decision to lower prices in Germany, signaling intensified competition among electric-car manufacturers in the region.

At 10:58 GMT, the shares of Volkswagen dropped by 2.5%, Stellantis by 1.6%, Renault by 3.3%, Mercedes-Benz by 1.8%, and BMW by 2.6%.

Tesla slashes prices in Germany

According to Tesla’s website, the U.S. electric-car company reduced prices by 5,000 euros ($5,439.25) for two versions of its Model Y. German consumers can now purchase the Performance model for EUR55,990 and the Long Range model for EUR49,990. Additionally, the base Model Y price was lowered by EUR1,900 to EUR42,990.

Electric-vehicle pricing faces challenges in Europe

HSBC analysts noted in a recent report that intensified competition and weakening demand are likely to exert pressure on electric-vehicle pricing in Europe this year.

Ripple effects: Tesla’s price cut impacts Asian carmaker stocks

Tesla’s price reduction strategy extended beyond Europe. The company recently slashed prices in China, causing a negative ripple effect on Asian carmaker stocks this week.

Related posts
News

HP Inc.'s Fiscal Results Insights

1 Mins read
HP Inc.’s stock experienced a 4% decline in extended trading on Wednesday following the release of their latest fiscal results that were…
News

Lawsuit Over Crown Castle Governance Rights

1 Mins read
Overview Crown Castle co-founder Ted Miller, along with his investment vehicle, has filed a lawsuit challenging an agreement between the company’s board…
News

The Demise of Defined Benefit Pension Plans

3 Mins read
Different Perspectives on ERISA’s Impact While many view ERISA as a contributing factor to the decline of defined-benefit (DB) plans, others argue…

Leave a Reply

Your email address will not be published. Required fields are marked *

+ 52 = 62