Tesla Motors has just announced a new offer to help buyers of its Model S electric car get the best price out of their second hand car, the second hand model, as well as a guarantee for a second hand price-hurdle of up to $1,500.
The offer was unveiled in Hong Kong on Wednesday morning.
Tesla says its offer is for the second and third hand cars of both Model S and Model X. “We are pleased to announce that we are providing an additional $1.5 million of cash in the secondhand car purchase program to help Model S owners make the most of their new second hand cars,” the company said in a statement.
It’s also offering a $1 million guarantee for the purchase of a second or third hand car by Model S or X owners.
This is a significant amount of cash that is a substantial savings to Tesla, which has been under increasing pressure from customers who are buying secondhand cars in droves due to the rising cost of petrol.
While Tesla said it would only offer cash in this secondhand program, there’s a $500 annual fee to enter the program.
In an attempt to make its offer more attractive to those buying second-hand cars, the company has launched a new online store for the sale of its cars.
Model S buyers who sign up for the store, which costs $500 a year, can pick up a secondhand Model S for just $2,500 in the US, or $2.75 in Australia.
Its still unclear whether these new price-instructions will be a permanent part of the second-hands program.
The first-hand car guarantee was announced in April, but the offer was later withdrawn.
A company spokesman said the company’s offer was aimed at making its second-wheeled vehicles more affordable, and that it would not be able to offer the guaranteed price of the first- and second-handed cars.
“The price of these second- and third-hand models are a little more expensive than the Model S, but if you’re a first-time buyer, you can make the difference,” the spokesman said.
Electric carmaker Tesla, a $US2 billion ($2.5 billion) technology company, said it had offered the guarantee in a separate $1 billion offer to Model S buyers in China.
Tesla said the offer is aimed at reducing the cost of owning a second- hand car.
On Wednesday, the Wall Street Journal reported Tesla was likely to increase its second hand sales, as it plans to add electric cars to its Model 3 line-up.
Last year, Tesla added the Model 3 to its electric lineup, but it also plans to expand into the petrol-powered Model S in the coming years.
Earlier this year, the US Department of Transportation said it could take actions against Tesla if it did not stop selling its secondhand electric vehicles in its network.