Tesla raised the prices of its Model 3 and Model Y cars by $500, its 4th price change of the year

elon musk
Tesla CEO Elon Musk.

  • Tesla lifted the prices of its Model 3 Standard Range Plus, Model 3 Long Range AWD, and Model Y Long Range AWD by $500.
  • It also raised the price of its Model 3 Performance by $1,000, to $56,990.
  • It’s the fourth price change of the year for Tesla vehicles.
  • See more stories on Insider’s business page.

Tesla can’t make up its mind on how much its electric vehicles should cost.

Electrek first reported Friday that Tesla had once again hiked up the US prices of its Model 3 and Model Y cars – marking its fourth price change in 2021 so far.

The Model 3, its cheapest sedan, has been hit by the most price changes this year. In the latest change, Tesla raised the price of the Standard Range Plus from $37,990 to $38,490, and the Long Range AWD from $46,990 to $47,490. The Performance version had an even bigger increase, from $55,990 to $56,990.

Read more: Apple will never deliver a car because it can’t figure out how to work with the automakers who could make it happen

The automaker also raised the price of its Model Y Long Range AWD from $49,990 to $50,490.

Electrek also noted that the Model 3 price hike was accompanied by a small design update, adding a new wooden door trim, which Tesla had already rolled out on Model 3 vehicles produced at its Shanghai, China Gigafactory.

Tesla Model 3 trim
Tesla Model 3s in the US now come with a wooden door panel.

Customers told CNBC that Tesla had double-charged for new cars in mid-March, leaving them with bills of up to $142,000.

A Tesla customer, Terry Oelschlaeger, told Insider’s Kate Duffy he was double-charged for a Tesla Model Y costing nearly $54,000 on March 25, and that a Tesla service center employee told him the error had affected “many” buyers.

The company has since refunded the customers, including Oelschlaeger, and offered them $200 in credit at its online store.

Tesla posted record sales in the first quarter of 2021 despite a worldwide shortage of semiconductor chips. It sold 184,800 vehicles in the first three months of 2021, and Wall Street now expects the electric-vehicle company to sell more than 800,000 cars this year.

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Tesla refunded customers who were overcharged up to $71,000 on new cars, and gave them $200 to spend at its online store

GettyImages 1288827259
Tesla CEO Elon Musk.

  • Tesla customers who were charged twice for a new car were refunded the extra money a week later, CNBC reported.
  • Tesla offered the customers $200 in credit to spend at the company’s online store.
  • The buyers were left with bills of up to $142,000, and were charged for overdraft fees.
  • See more stories on Insider’s business page.

Tesla has refunded customers who were double-charged for new electric cars in mid-March, and has offered them $200 in credit at its online store, six people told CNBC on Wednesday.

Tesla refunded the extra money about a week after the customers told CNBC that Tesla had charged them twice without authorization and left them with bills of up to $142,000.

The customers said they received the money back on their double charges on or before April 1, but that they also had to pay for overdraft fees from their large bills.

Elon Musk’s car company sent the overcharged customers an email, which they shared with CNBC, that apologized and gave them $200 in credit. Tesla said the credit must be used in a single transaction, would expire on January 30, 2022, and couldn’t be spent on Tesla Tequila.

Tesla didn’t immediately respond to Insider’s request for comment.

Three California-based Tesla customers first shared their stories with CNBC in March. CNBC’s journalists reviewed their purchase agreements, correspondence with Tesla, and bank statements.

Clark Peterson, Tom Slattery, and Christopher T. Lee initially told CNBC they had purchased Teslas ranging from $37,000, the price of a Model 3 sedan, to $71,000, the cost of a Model Y crossover SUV with premium features.

A former banking executive from North Carolina, who wanted to remain anonymous for privacy reasons, also told CNBC he was charged twice for a new Model Y costing about $54,000.

Read more: DeepMind’s cofounder partied with Elon Musk for his raucous 40th birthday party on the Orient Express, a new book revealed

These buyers all authorized the payment of their brand-new electric vehicles through ACH direct debit, but the next day found that the money had been taken from their account twice, meaning in total they had spent between $74,000 and $142,000 on the cars.

Now they’ve been refunded, they said Tesla customer service needs to improve.

Peterson told CNBC: “While happy to have the whole situation sorted, I still feel that the response time was inadequate. It took days before Tesla had any kind of response, and they were holding our significant funds the whole time. And it took them five minutes to take those funds from our account.”

Another Tesla customer, Terry Oelschlaeger, told Insider he was also double-charged for a Tesla Model Y costing $53,993.70 on March 25. He shared his bank statement with Insider, showing a duplicate charge for a new car.

Oelschlaeger said he phoned the company three times to complain and drove to a Tesla service center in California, where an employee told him the error had impacted “many” buyers.

The company told him the refund would arrive in his bank account in one to three business days. He eventually received a payment in full from Tesla on March 31.

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Tesla has restarted Model 3 production in California after a 2-day shutdown due to a parts shortage, Elon Musk said

Tesla Fremont factory
Tesla’s Fremont, California factory.

  • Tesla restarted production at its Fremont, California factory on Wednesday, CEO Elon Musk said.
  • The factory stopped production for two days because of parts shortages, Musk said.
  • Tesla said last month that production could be impacted by the global semiconductor shortage.
  • Visit the Business section of Insider for more stories.

Tesla restarted production at its Fremont, California factory on Wednesday after a two-day hiatus caused by parts shortages, CEO Elon Musk said Thursday.

“Fremont shut down for two days (parts shortages) & restarted yesterday,” he tweeted, without elaborating.

Tesla said last month that it might face a temporary impact from a global semiconductor shortage.

Several automakers, including General Motors, Volkswagen, and Ford, are hit by the shortage of chips, forcing them to scale down production.

President Biden signed an executive order on Wednesday ordering a review into various US supply chains, including semiconductors.

Musk’s announcement on Twitter followed a report by Bloomberg that workers on a Model 3 production line in Fremont were told their line would be down from February 22 until March 7.

Affected staff were reportedly told they’d be paid for February 22 and 23, but not for February 28 through to March 3, a source close to the matter told the publication. February 22 and 23 were the days the factory halted production, according to Musk’s tweet.

The Fremont plant has an annual production capacity of 500,000 Model 3s and Model Ys combined.

Over the weekend Tesla also has stopped taking orders for its Model Y standard range, its second-cheapest vehicle, just days after slashing its price by $2,000.

It is unknown why the vehicle, which had only been on sale for a month, is no longer listed or whether the move is permanent.

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Tesla has reportedly temporarily halted production on its Model 3 line in California

Tesla Fremont factory
Tesla’s Fremont, California factory.

  • Tesla told workers at its Fremont, California factory it would temporarily shut down production, a source told Bloomberg.
  • The Tesla Model 3 line shutdown would last from February 22 to March 7, the source said.
  • Tesla said last month that production could be impacted by the global semiconductor shortage.
  • Visit the Business section of Insider for more stories.

Tesla has told workers it will temporarily halt some production at its car assembly plant in California, Bloomberg reported on Thursday, citing a person familiar with the matter.

Workers on a Model 3 production line in Fremont were told their line would be down from February 22 until March 7, according to the report.

Affected staff were reportedly told they’d be paid for February 22 and 23, but not for February 28 through to March 3, the source said. They were reportedly told to use vacation days where possible.

The report did not clarify the reason for the halt, and Tesla could not be immediately reached for comment.

It was also unclear how much volume or revenue Tesla would lose due to the production halt. The Fremont plant has an annual production capacity of 500,000 Model 3s and Model Ys combined.

Tesla said last month that it might face a temporary impact from a global semiconductor shortage.

Several automakers, including General Motors, Volkswagen, and Ford, are hit by the shortage of chips, forcing them to scale down production.

President Biden signed an executive order on Wednesday ordering a review into various US supply chains, including semiconductors.

Read the original article on Business Insider