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.

Just Posted

District of Elkford celebrates grand opening of new municipal office

Submitted District of Elkford The District of Elkford has officially begun serving… Continue reading

GALLERY: Fernie hosts mine rescue competition

Fording River, Line Creek mine rescue teams off to provincials after placing first and second

Fernie beer named Canada’s best pale ale

Fernie Brewing Company’s Campout West Coast Pale finishes first at the Canadian Brewing Awards

Cannabis yoga a budding trend in Fernie

Yoga studio, cannabis educator team up to offer Fernie’s first cannabis yoga classes from May 17

Sparwood’s Momma Di a mother to many

The Free Press competition winner revealed; plus Mother’s Day around the Valley

‘Teams that win are tight’: B.C. Lions search for chemistry at training camp

The Lions added more than 50 new faces over the off-season, from coaching staff to key players

Man facing 12 charges after fleeing from Cranbrook, Elk Valley RCMP

A man is facing 12 charges after fleeing from police in Cranbrook… Continue reading

Growing wildfire prompts evacuation of High Level, Alta.

Chuckegg Creek fire has been burning for several day, but grew substantially Sunday

Top women’s hockey player Natalie Spooner coming to B.C.

Natalie Spooner special guest at annual Grindstone charity weekend in Kelowna

Take-home drug testing kits latest pilot to help curb B.C.’s overdose crisis

Researchers look to see if fentanyl testing could be a useful tool for those who use drugs alone

UPDATE: Aggressive coyote moves to Sparwood

Residents urged not to feed or approach the animal

City of Fernie to hold referendum for multi-purpose centre loan

Council opts for assent voting after petition calling for a referendum garners over 500 signatures

Facebook takes down anti-vaxxer page that used image of late Canadian girl

Facebook said that the social media company has disabled the anti-vaccination page

Search crews rescue kids, 6 and 7, stranded overnight on Coquitlam mountain

Father and two youngsters fall down a steep, treacherous cliff while hiking Burke Mountain

Most Read