DETROIT (AP) — With its sales slowing and its stock price tumbling, Tesla Inc. slashed prices dramatically on several versions of its electric vehicles, making some of its models eligible for a new federal tax credit that could help spur buyer interest.
The company dropped prices nearly 20% in the United States on some versions of the Model Y SUV, its top seller.
That cut will make more versions of the Model Y eligible for a $7,500 U.S. electric vehicle tax credit that will be available through March.
It also reduced the base price of the Model 3, its least expensive model, by about 6%.
Far from pleasing investors, the sharp price cuts sent Tesla shares sinking in early trading.