Supply chain pressure hikes up Tesla vehicle prices, says Musk

Owing to the supply chain pressure across the auto industry, especially on the raw material front, the price of Tesla vehicles is increasing, Elon Musk shared on Monday via twitter.

“Prices increasing due to major supply chain price pressure industry-wide. Raw materials especially,” Musk said in a tweet.

Musk stated this while responding to an unverified Twitter account called @Ryanth3nerd, which said, “I really don’t like the direction @tesla is going raising prices of vehicles but removing features like lumbar for the Model Y…”

The Electric car company Tesla in May increased the prices of its Model 3 and Model Y, the automaker’s fifth incremental price increase for its vehicles in just a few months, as reported by an American news website on electric transportation, Electrek.

Earlier in April, while addressing an earnings conference call, Musk spoke of the supply chain challenges faced by the company. “Tesla had experienced some of the most difficult supply chain challenges, citing a chip shortage. We’re mostly out of that particular problem,” he added at that time.

In response to the removal of lumbar support on the passenger side in Tesla’s Model Y, Musk said, “Moving lumbar was removed only in front passenger seat of 3/Y ( not there in rear seats). Logs showed almost no usage. Not worth cost/mass for everyone when almost never used.”

Earlier on Monday, reports by the Electrek suggested that the new Tesla Model Y owners are reporting that their electric SUVs are being delivered without lumbar support on the passenger side.

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