FILE - In this March 9, 2013, file photo. (AP Photo/Jack Plunkett, File)

Elon Musk: Low-priced Tesla coming to the U.S.

Elon Musk says Tesla will soon start selling its $35,000 Model 3

Three years after he promised to sell an all-electric Model 3 mass-market sedan for $35,000 before incentives, Elon Musk is finally coming through. The Tesla Inc. chief executive announced Thursday that a low-priced, range version will soon be available in the U.S.

Musk also announced that the company’s cars will be sold online only. Retail stores will be converted into showrooms and information centers, he said. He didn’t say how many stores will close, or whether the shift will affect the company’s workforce.

Tesla promised a $35,000 Model 3 in March of 2016 and began taking refundable $1,000 deposits.

“We do not expect to be profitable in the first quarter,” Musk said during a conference call Thursday, because of “special charges” and the costs of sending cars to China and Europe.

READ MORE: Millennial Money: Don’t freak out about your emergency fund

There’s a lot going on,” he said. A profit in the second quarter is “likely,” he said.

Musk used his Twitter account Tuesday night to tease Thursday’s announcement. He continued teasing Wednesday, offering no details on the mystery. Between the stock market’s opening on Wednesday to the close on Thursday, Tesla stock gained more than $18 a share, or about 6 percent, finishing at $319.88.

The Model 3 news comes on the heels of a contempt charge filed against Musk on Monday by the U.S. Securities and Exchange Commission. The SEC claims Musk violated the fraud settlement reached with the agency last September by tweeting false information about the number of cars Tesla plans to produce this year, and by sending the tweet without getting corporate permission first, as the settlement requires.

READ MORE: Premiers call for end to tariffs, reboot on Canada-U.S. relationship

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Barriere RCMP are asking, “Do you know who these people are?”

RCMP are hoping someone will recognize the people in these photos who… Continue reading

Barriere RCMP looking for alleged AG Foods shoplifter

RCMP are requesting help in identifying a woman who departed the AG… Continue reading

Valley Voices From The Past: Early policing in the North Thompson Valley

By Nelson Hindle The following is an excerpt from Upper North Thompson… Continue reading

Welcoming the hot weather with a trip to the Splash Pad

The final arrival of scorching temperatures these past few weeks, with Barriere… Continue reading

District of Barriere Utilities Manager reports to council on Barriere wells

District of Barriere Utilities Manager Ian Crosson presented a verbal report during… Continue reading

Teachers to get 2 extra days to prepare for students’ return, now set for Sept. 10

Students will first start with orientation and learn rules of COVID-19 classroom policies

Feds commit $305M in additional funds for Indigenous communities during COVID-19

Money can be used to battle food insecurity and support children and mental health

Hobo Cannabis renamed Dutch Love after backlash

Hobo Cannabis has various locations in Vancouver, Kelowna and Ottawa

Man accused of killing Red Deer doctor says he does not remember attack

Appearing before a judge, Deng Mabiour, 54, rambled about being sick and needing a doctor

Teen killer Kelly Ellard gets day parole extension, allowing up to 5 days at home

Ellard is serving a life sentence for the 1997 murder of 14-year-old Reena Virk

Andrew Scheer likely marking last day in House of Commons as Opposition leader

Today’s Commons sitting is one of two scheduled for August

Deaths feared after train derails amid storms in Scotland

Stonehaven is on the line for passenger trains linking Aberdeen with the cities of Edinburgh and Glasgow

DFO says 5 aggrieved B.C First Nations were consulted on fisheries plan

Nuu-chah-nulth First Nations calls response ‘a sham,’ adding DFO never incorporates their views

Lower Mainland woman gives birth on in-laws’ driveway

Frédérique Gagnon new son is appropriately named after Norse trickster god

Most Read