Tesla Slashes Model 3 and Model Y Prices to Spur Demand Amid Ramping Production and Slowing Sales

Tesla cut prices on Model 3 and Model Y vehicles in the U.S. by up to $2,250 to boost demand and sales.

Price cuts come as Tesla ramps up production at new factories, helping relieve supply constraints.

Tesla delivered 435,059 vehicles last quarter, below expectations, needing strong Q4 sales to hit 2022 target.

Price cuts have hurt Tesla's profitability, with automotive gross margin and operating margin falling to multi-year lows.

Tesla to update on impact of price cuts when it reports Q3 earnings on October 18.