- First Name
- Mar 11, 2021
- Reaction score
- Ventura, CA
- Tesla Model S, Y
I too hope prices wont go up . But we need to be realistic. Inflation just rose over 6%. Autos, like Ogre posted, are a big part of that inflation. We all see almost everything going up. Demand is up due to all of the money flooding the economy, with supply of both labor and materials constrained. Many factors suggest those constraints are not short term.I’m HOPING those of us pre ordered will lock in the price. Tesla already took off the price from their CT page so price increase is inevitable. However price if iron ore has dropped 50% very recently so hoping inflation is temporary. Tesla also increase price to reduce wait time so my guess they will increase price after production get started because the wait is already 2 years minimum.
The last time inflation exceeded 6% in 1973, it took a decade of pain before increases consistently dropped below 6%. Prices more than doubled in that decade.
Iron ore prices were driven up by over-investment by China, and are settling back as that excess is curbed.
But lithium prices are going up faster than iron ore could possibly drop. And steel prices are stable despite the price drop in iron ore, due to rises in other costs.
It is impossible to know where inflation is heading, but history says it is unlikely to abate quickly.