• Business Business

Tesla just slashed prices on 2 of its most luxurious models — here's how much you could save on a new Model X

Tesla has already been forced to lower its prices once.

Tesla Model X

Photo Credit: Getty Image

Tesla is a major pioneer in the electric vehicle market and remains the industry leader. As of last year, the company accounted for 68% of the total EV sales in the United States. 

Tesla changed the passenger vehicle game and acquired a rabid fan base along the way — and with good reason, as EVs are significantly more sustainable than gas-powered cars, which pollute our atmosphere with planet-warming gases at an alarming rate.

However, those fans have had to pay high prices and sit on long waitlists to get their hands on a Tesla. And meanwhile, the established major car companies have risen to meet the challenge, offering comparably sustainable EVs at a fraction of Tesla's price.

Tesla has already been forced to lower its prices once, as a burgeoning price war within the EV market seems to be beginning.

Now, the company has announced that it's doing it again. Reuters reports that Tesla is cutting the prices of its two most expensive models, the Model S and Model X, albeit moderately. Both prices dropped $5,000, with the basic Model S dropping to about $90,000 and the basic Model X to about $100,000.

Still, those prices remain significantly higher than other EVs currently on the market. The Chevy Bolt EV, for example, starts at only $26,500, and that's before you even factor in the major tax credit you can get for buying one. Nissan, Mini Cooper, Mazda, and Hyundai also all have EV models available for under $35,000.

In addition, Ford just announced that it would begin manufacturing affordable lithium iron phosphate batteries at a factory in Michigan, which should make future EVs from that company much more competitively priced.

It remains to be seen if brand loyalty — one of the main things that Tesla has going for it — will be enough for the company to retain its foothold at the top of the industry or if more price cuts are coming in the future.

Join our free newsletter for cool news and actionable info that makes it easy to help yourself while helping the planet.

Cool Divider