BOSTON — Tesla Motors Inc. said Monday it has begun selling its second-generation Model S sedan for $899, which it said could be worth $8 a month on its own.
The company said in a blog post that it’s the first time it’s offered the Model S for sale at a price point lower than $1,000, and the car has an 80-percent return on investment.
The automaker said that it has sold 4,000 vehicles to date, and that its first order for the second-gen sedan is for the vehicle’s battery.
It said that the battery for the Model 3 was delivered on June 28, and it expects it to arrive in Tesla’s plant in Fremont, California, in September.
Tesla expects the first production car to arrive at its Fremont plant in 2019.
The automaking company said that its second car is a plug-in hybrid electric vehicle, which means it has to be fully charged every day.
The car is equipped with a 10kWh battery, which is designed to last about 14 months, the company said.
Tesla said it expects that the car to cost $3,800.
We are thrilled to be able to offer this second-half of Model S at a low price point, and to be offering the Model 2 at $1.5 million for this year and for the year after that.
As the Model X is the first car with a full suite of electric and autonomous features, it is also the first vehicle that Tesla has offered at this price point.
While the Model Z, which Tesla unveiled in May, has a battery that lasts about 16 months, Model S will last longer, Tesla said.
It will have a battery of 60 kWh and will be capable of driving a single-lane road for an hour and a half.
The Model S car is expected to cost about $40,000.
Model 3 is expected in 2020, while Model X will arrive in 2021.
In addition to the $1 million purchase price, Tesla also announced that it would buy back about 9,000 of its Model S cars that were sold between September 2017 and September 2018.
The automaker also announced plans to sell its remaining cars in 20 countries by 2021.