Tesla Cuts Model Y Prices in Germany Amid Intensifying EV Competition

The move comes as Tesla faces growing challenges from Chinese EV maker BYD and German carmaker Volkswagen, with investor sentiment dampened by recent price cuts.

Tesla has cut the price of its Model Y in Germany by up to 9% in an attempt to compete with BYD and Volkswagen in the EV market.
BYD surpassed Tesla as the world's biggest EV maker in the final quarter of 2023, and Volkswagen overtook Tesla in market share of EVs in Germany in the same year.
BYD is planning to build a production center in Hungary to increase its presence in Europe, where it currently has a market share of 0.1%.
Tesla's recent price cuts in China and Germany have not been well received by investors, with Tesla shares declining more than 7% in the last week.
Tesla will suspend most of its production at its Berlin Gigafactory for about two weeks from the end of January due to supply chain disruptions caused by Houthi Rebel attacks in the Red Sea.