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    Tesla slashes Model Y price as pandemic weighs on auto sector

    CGTN | Updated: 2020-07-14 16:28
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    The Tesla Model Y. [Photo/tesla.cn]

    Tesla Inc cut the price of its sport utility vehicle Model Y by $3,000, just four months after its launch, as the US electric carmaker seeks to maintain sales momentum in the COVID-19 pandemic.

    The reduction follows price cuts in May on Tesla's Model 3, Model X and Model S.

    The company headed by Elon Musk this month posted a smaller-than-expected fall in car deliveries in the second quarter, resilient results despite the pandemic that hit the global auto industry.

    The Model Y now starts at $49,990, down nearly 6 percent from its previous price of $52,990, according to the carmaker's website.

    Tesla did not immediately respond to a Reuters request for comment.

    The company started deliveries of the Model Y in March, promising a much-awaited crossover that will face competition from European carmakers like Volkswagen AG rolling out their own electric rivals.

    In April, Tesla had said the Model Y was already profitable, marking the first time in the company's 17-year history that one of its new vehicles turned a profit in its first quarter.

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