With orders for its new Model 3 starting at $35,000, Tesla now claims it has 325,000 reservations for its newest car — but there won’t be any deliveries until 2017 at best.
There are now $14 billion in implied future sales, which makes this the single biggest one-week launch of any product ever.
Tax Code Benefits
All this interest in the Model 3 is making people nervous about whether the federal tax credit will still be available when their Model 3 is manufactured. Once Tesla sells its 200,000th car in America, the federal tax credit shifts from a focus on how many cars have been sold to when they are sold. For example, let’s assume Tesla sells it 200,000th car on January 1, 2018. During the rest of that quarter and for the entire quarter following, every car it sells will get the tax credit. If it could build and deliver 200,000 cars during those two-quarters, every one of them would be eligible for the federal tax credit.