- Tesla has introduced a wave of incentives to shift as many EVs as it can before the end of the year.
- The incentives include free paint jobs and financing deals.
- Elon Musk’s automaker is racing to avoid another decline in annual sales after a difficult year.
Tesla is piling on incentives for buyers as it aims to end a rocky year on a high.
Elon Musk’s automaker has introduced a smorgasbord of discounts and deals in the US, with Tesla facing a race against time to avoid a second consecutive year of declining sales.
Tesla is offering 0% APR financing for up to 72 months on select Model Y Standard purchases and is also advertising the option to lease a Model Y without a down payment on its website.
Buyers can also trade in a gas car to receive 2,000 miles of free supercharging, and Tesla is offering complimentary upgrades, including premium paint jobs, tow hitches, and 19-inch “Nova” wheels valued at up to $1,500 on select inventory vehicles.
Tesla often offers more incentives toward the end of the year. But this time, the company is racing to avoid another year of declining sales, following Tesla’s first-ever year-over-year fall in sales in 2024.
Repeating that pattern would provide more evidence that Tesla’s momentum is stalling after years of rapid growth.
In October last year, Musk predicted Tesla sales would grow 20-30% in 2025. Tesla needs to sell 555,000 EVs in the final three months of the year — more than it’s ever sold in a quarter — just to match its sales figures from last year.
That’s a tall order, with Tesla facing difficulties in all its main markets. The Cybertruck maker’s sales have cratered in Europe amid backlash over Musk’s politics. In China, Tesla has been squeezed by a wave of competition from local rivals.
Tesla also faces major headwinds in the US after the Trump administration scrapped the $7,500 tax credit for new EVs in September. Tesla’s US sales fell 35% between September and October after the tax credit disappeared, according to data from Cox Automotive.
It comes as Musk has increasingly shifted Tesla’s focus toward AI and robotics. The billionaire has described the steering wheel-less Cybercab and Tesla’s Optimus robot as the future of the company, with both set to enter production next year.
