Tesla set August order cutoffs for free Model Y and Model 3 upgrades, raised Model Y lease prices by up to 14%, and extended delivery times to as long as six weeks for some variants.
Retail sentiment around Tesla turned bullish late Sunday after CEO Elon Musk underscored a Sept. 30 deadline for U.S. customers to take delivery of their vehicles to qualify for federal tax credits worth up to $7,500, while the company adjusted incentives, raised lease prices, and extended delivery wait times.
Tesla posted on X, stating, “$7,500 Federal Tax Credit ends Sept 30. You’ll need to take delivery – not just place an order – by that date to make use of the credit before it’s gone.”
“Important re timing of vehicle delivery,” Musk said, quoting Tesla’s post.
The deadline follows legislation signed by U.S. President Donald Trump in July that will end the credits that are available for new, used and leased EVs after Sept. 30, replacing a Biden-era policy that had been set to run through 2032.
For the Model Y, Tesla set an Aug. 11 order cutoff to qualify for a free upgrade on eligible inventory.
The Model Y Long Range AWD lease price increased to $449 a month from $399, up as much as 14%, with estimated delivery times extended to four to six weeks from one to three weeks for both Model Y variants, Tesla investor and influencer Sawyer Merritt posted on X.
Both models are eligible for a $7,500 federal tax credit on qualifying cash and financed purchases delivered by Sept. 30, as well as a $7,500 lease incentive.
Other promotions include $1,000 off for military personnel, first responders, teachers and students; a one-month Full Self-Driving (Supervised) trial; and the ability to transfer the feature from an existing vehicle.
Separately, Musk said Friday that Tesla’s next Full Self-Driving (Supervised) software update, expected next month, will “substantially” reduce the need for driver attention while not enabling full autonomy.
Drivers will still need to remain alert in complex intersections, poor weather, and “unusual events,” he said, describing the upgrade as a “major step-change improvement for rare conditions” that would make the car feel “eerily human.”
The EV maker also secured a rideshare license in Texas, listing Tesla Robotaxi LLC as an authorized transportation network company on the state’s Department of Licensing and Regulation website.
Analysts expect a sales surge before the federal credit expires. “We’re expecting Q3 may be [a] record for EV sales because of the tax incentives going away,” said Stephanie Valdez Streaty, senior analyst at Cox Automotive, according to a CNBC report.
U.S. consumers bought nearly 130,100 new EVs in July, the second-highest monthly total on record, up 26.4% from June and 20% from a year earlier, Cox data showed.
On Stocktwits, retail sentiment for Tesla was ‘bullish’ amid ‘low’ message volume.
Tesla’s stock has declined by over 18% so far in 2025.
For updates and corrections, email newsroom[at]stocktwits[dot]com.<