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Tesla price cuts: Flagging demand or tactic to boost sales?
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FILE - A Tesla logo is seen on a vehicle on display in Austin, Texas, Wednesday, Feb. 22, 2023. On Wednesday, March 1, Tesla executives said the company will use innovative manufacturing techniques and smaller factories to cut the cost of its next generation of vehicles by as much as half of the ones it now builds. - photo by AP Photo/Eric Gay, File
DETROIT (AP) — In explaining why Tesla Inc. keeps cutting prices on its electric vehicles, the auto industry is pretty much divided into two camps. On one side are analysts who see an aggressive move by the leading manufacturer of EVs to gobble up sales and market share from its competitors just as they're beginning to bring more vehicles to market. On the other side are critics who argue that with demand for Tesla's older vehicles beginning to wane, the company feels forced to slash prices to attract buyers.