News JVTech Electric cars: With its price drop, Tesla is giving ideas to another car giant
In the automaker battle, Tesla hit it hard earlier this year by slashing the price of these electric cars. A choice that doesn’t please everyone but forces some brands to make the same choice to stay competitive.
Car price drops are piling up…
Tesla to start the fashion. And after Tesla, Ford followed the same path. And today it’s Volkswagen, which in turn cracks. After hesitating to lower the prices of its electric cars, the German company finally decided to lower the price of its ID.3a vehicle that she has just renewed and which is also her best-selling model in Germany. “We have a clear pricing strategy that emphasizes reliability. »
But now things seem to have changed. Finally, since Tesla’s initial attack and the Model 3 and Y price drop, Ford has also lowered the prices of its Mustang Mach-E. A “reversal of the situation”, which is therefore forcing Volkswagen today to rethink its plans and place its ID.3 under the 40,000 euro mark.. At the moment there is no information circulating regarding a possible price change in France, but everything suggests that the specifics of the German market have encouraged the compact to drop a few dollars.
Volkswagen is slashing the price of its ID.3 to bring it in line with Tesla’s Model 3
With the latest discounts, With its Model 3, Tesla had almost managed to come close to the ID.3 in terms of price, but now the compact with a starting price of 39,995 dollars has an additional cushion of 5,000 dollars compared to the sedan
But things are changing, and with Volkswagen’s recent update to its ID.3, it’s more likely to be on par with Tesla’s Model 3. Equipment is now more extensive and the quality of the cabin materials has been improved to bring new commercial impetus to a car that has been on the market since July 2020
Regardless of whether these discounts arrive in our country or not, the movement of the Germans shows how much power Tesla has to put pressure on its competitors. As we said a few days ago, Tesla is in one very advantageous location when it gets into a price war. The margin that Elon Musk’s company earns on each car sold is significantly higher than that of its competitorsand that’s why Volkswagen had pursued a clear strategy: sell less but more expensive. A strategy that is obviously not used with the ID.3.