Fourth quarter deliveries increased 8% compared to Q3 deliveries of 83,500. Model 3 deliveries grew 13% to 63,150, while Model S and Model X vehicle deliveries stood at 13,500 and 14,050, respectively.
Production in Q4 also increased 8% versus Q3 production of 80,142. Model 3 production grew 15% to 61,394, while the company produced 25,161 Model S and X vehicles in Q4.
Tesla expects to grow Model 3 sales by expanding to international markets, introducing lower-priced variants and offering leasing. International deliveries in Europe and China will start in February 2019. Expansion of Model 3 sales to other markets, including with a right-hand drive variant, will occur later in 2019.
As the federal EV tax credit halved to $3,750, the company reduced the price of Model S, Model X and Model 3 vehicles in the US by $2,000. Customers can apply to receive the $3,750 federal tax credit for new deliveries starting on January 1, 2019. In China, Tesla cut its Model 3 prices and slashed down Model S and Model X prices recently.
Tesla stock, which opened down 8% at $306.10 in Wednesday’s trading, had increased 7% in both last three months and one year period.