Tesla Cybertruck Discounts Inbound After Demand Plummets
Tesla is offering discounts on its Cybertruck models after struggling to maintain demand in the last year. Despite being one of Tesla’s newer additions to the market, the Cybertruck has faced inventory challenges in the United States and Canada. To address these, Tesla is now reducing prices to attract potential buyers. Regular Cybertruck models see a price drop of up to $4,000, while the Foundations Series gets a $6,000 discount. These discounts are a significant jump from last month’s offerings as Tesla works to clear out its 2024 stock.
In 2024, the company encountered production challenges that translated into a large inventory buildup, with only 38,965 Cybertrucks sold. Though this figure makes it Tesla’s third best-selling model in the U.S. last year, sales fell behind expectations, especially during the last quarter. The Cybertruck struggled against competitors like the Ford F-150 Lightning, which offers a more appealing lease price at $427 per month compared to Tesla’s revised monthly rate of $749.
Tesla made some strategic adjustments to mitigate this inventory problem. They’ve adapted Cybertruck models initially meant for the U.S. market for sale in Canada, moving stock across North America where possible. Additionally, they have removed identifying badges from the more premium “Foundation Series” trucks, selling them as regular models to streamline offerings.
The pricing landscape for Tesla’s Cybertruck is further complicated by tax credits. Although 2025 models are eligible for a federal tax credit of $7,500, this incentive does not apply to the 2024 models that Tesla is currently focusing on selling. The constraints around the tax credit, which include income and vehicle price caps, limit its effectiveness.
Public perception issues are also impacting sales. Range anxiety is a common concern among new EV users as real-world performance often doesn’t align with official EPA ratings. For example, while the Cybertruck might promise a 320-mile range under ideal conditions, owners are noticing ranges closer to 250-270 miles due to various factors like driving style and weather conditions. This performance discrepancy further discourages potential buyers, feeding into negative public sentiment.
Beyond technical and sales challenges, Tesla is also dealing with external factors that are beyond their control. A proposed bill by GOP senators might eliminate the federal EV tax credit entirely, threatening to disrupt the market even more. This situation adds pressure on Tesla to sell existing inventory while the tax credits are still in place.
