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Tesla Slashes Prices Amidst Market Challenges

Payam Javan: Tesla slashed prices by $2,000 on three of its models in the U.S. on Friday, reflecting struggles for the electric car giant under Elon Musk’s leadership.

The reduced prices affect the Model Y, Models X, and S, aiming to boost sales amid a challenging market. The move follows Tesla’s stock dip below $150 per share, erasing yearly gains amidst a 40% drop this year due to declining sales and heightened competition.

Musk touted an entry-level Tesla cost of $29,490 with tax credits and fuel savings factored in. Amidst reports on a scrapped Model 2 project and recent layoffs, Tesla grapples with quality issues, recalling 4,000 Cybertrucks due to accelerator pedal concerns.

Musk postponed a trip to India to meet the Prime Minister due to “Tesla obligations,” with plans to reschedule. Tesla’s first-quarter earnings report, due Tuesday, is anticipated following a significant decline in global sales, marking its first year-over-year quarterly sales drop in nearly four years.

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