Days after Tesla CEO Elon Musk issued a warning that the company was under pressure due to the pressures faced by inflation, the EV major has finally increased its prices. The Russian invasion of Ukraine as well as the rising cost of key commodities has led to the situation.
The prices have increased between 5% and 10% compared to previous levels and are already being displayed on the company’s website. The core reason for the price hike is the inflated prices of the cars’ key components, aluminium, and nickel.
Musk tweeted, “Tesla & SpaceX are seeing significant recent inflation pressure in raw materials & logistics.” The company’s cheapest car, Model 3 with rear-wheel drive, now costs $46,990, and the most expensive vehicle, Model X Tri Moto costs $139,990.
