Investing.com -- Tesla (NASDAQ:TSLA) has begun offering discounts on new Cybertruck models in its inventory, CNBC reported Thursday, referencing pricing information from the company’s website.
The automaker’s shares fell less than 1% in premarket trading Thursday.
Price reductions range up to $1,600 on new vehicles, depending on the configuration, and up to $2,600 for demo versions. Production of the distinctive steel pickups has reportedly slowed at Tesla’s Austin, Texas factory in recent weeks.
Deliveries of the Cybertruck, known for its unconventional design, began in 2023. Although initially unveiled in 2019 with a promised price of about $40,000, the base price in the US climbed to nearly $80,000 throughout 2024.
The Cybertruck was once seen by Wall Street as a significant growth driver for Tesla’s automotive sales.
Last year, it surpassed the Ford (NYSE:F) Lightning F-150 in US sales and ranked as the fifth best-selling EV domestically, according to data from Cox Automotive. However, its high price, repeated recalls, and production challenges in Austin limited its growth. In November, Tesla issued its sixth recall of the year to address faulty drive inverters.
Tesla’s overall deliveries fell slightly in 2024 compared to the previous year, despite record global demand for EVs. A growing number of competitive models from other automakers has chipped away at Tesla’s market share.
Cox Automotive estimated that US EV sales reached 1.3 million in 2024, up 7.3% year-over-year, while Tesla’s sales dropped by about 37,000 units.
Tesla co-founder and CEO Elon Musk recently apologized to California customers for delays in Cybertruck deliveries. He said that Tesla is using the trucks to deliver supplies and provide wireless internet access to areas of Los Angeles impacted by severe wildfires.