TORONTO – Tesla Inc. says it is raising prices by up to $9,000 starting Feb. 1 on its Model 3 vehicle, the cheapest in its lineup.
The company says it will also be raising prices on the Model Y, X and S by $4,000 at the same time.
Tesla did not say why it was raising prices, but the date of the increase happens to coincide with when U.S. President Donald Trump said he could impose widespread tariffs on Canada.
The increase comes after Tesla had already hiked the price of its vehicles by $1,000 earlier in January, pushing the Model 3 and Model Y out of eligibility for federal electric vehicle incentives.
The earlier price increase came as Transport Canada said funding for the incentive program had been fully committed so it was halting new rebate approvals indefinitely.
Tesla vehicles imported from China had already lost eligibility last October, as did any imports from countries without a free trade deal with Canada.
This report by The Canadian Press was first published Jan. 23, 2025.
