Tesla’s average transaction price (ATP) for its vehicles has climbed to its highest point since February 2023, driven by strong demand for the Cybertruck and price increases for the Model Y and Model 3. Despite price cuts last year, Tesla has adjusted its pricing strategy in 2024, focusing on intermittent price hikes. While EVs remain pricier than combustion engine vehicles, Tesla’s success in the premium segment demonstrates a growing appetite for electric vehicles.