Tesla has sold out its Model Y for the quarter in the United States, with no more production builds until April, as reported by Electrek citing sources familiar with the matter. Despite being just halfway through the quarter, the new model, now Tesla’s highest-volume vehicle, has been in high demand, as customers rush to take advantage of the recent price drops and the new $7,500 federal tax credit for electric vehicles.
Tesla has completely run out of production build slots for the Model Y for the quarter, but the automaker will still have some specific configurations in inventory available in some markets. The estimated timeline on the Model Y has been updated to “Est. Delivery: Apr – Jun 2023,” after Tesla increased the price of the base Model Y by $1,500 following a $13,000 reduction early last month.
See also: Tesla Delivers Model 3 and Model Y Electric Vehicles in Thailand, Expanding Presence in Asia
Meanwhile, new base Model 3 vehicles can still be built and delivered this month, with an estimated delivery timeline of “Feb – Mar 2023,” even though Tesla has continued to reduce the price of the Model 3 since the significant price drop in early January. However, the automaker might have issues selling Model 3 vehicles right now because of the expected refresh coming soon.
One factor helping Tesla sell Model 3 and Model Y vehicles this quarter is the uncertainty about the models’ eligibility for the full tax credit for vehicles delivered after March. The new battery sourcing guidance is coming soon, and automakers will start to know whether or not they qualify.
See also: Tesla to Open U.S. Charging Network to Rivals as Part of $7.5 Billion Federal Program
Tesla buyers in California also have access to an additional $2,000 incentive on top of the $7,500 federal tax credit. California is the largest EV market in the United States, and Tesla delivered nearly 200,000 electric vehicles in the state in 2022.
Despite this record performance, there’s still room to grow with electric vehicles accounting for only 16% of new passenger vehicle sales in California. With Tesla dominating the US EV market, the incentives are going to be a big help for the automaker to keep growing in the state.
