Tesla Offers Incentives to Boost Q3 Sales Ahead of EV Tax Credit Expiration

Tesla is offering incentives to boost Q3 sales as the federal EV tax credit nears its expiration on September 30. The discounts include 0% APR financing on the Cybertruck, free Supercharging for cash buyers of the Model 3, and up to $10,000 in auto loan interest tax-deductible. These promotions aim to capitalize on remaining incentives and boost demand in Tesla's strongest market.

As the federal EV tax credit nears its expiration on September 30, Tesla has introduced a comprehensive list of incentives aimed at boosting Q3 sales in the U.S. market. This strategic move comes amidst a backdrop of declining sales in major markets like Europe and China, with the U.S. remaining a stronghold for the automaker.

The new incentives include significant discounts and promotional offers tailored to various Tesla models. For instance, all new Tesla vehicles come with a $7,500 lease incentive if delivered by September 30, while American heroes (military, first responders, teachers, and students) can enjoy an additional $1,000 off. Moreover, customers can benefit from a free 1-month full self-driving (Supervised) trial and a free full self-driving (Supervised) transfer from their current Tesla vehicle [1].

The Model Y and Model 3, in particular, have seen a range of attractive offers. The Model Y, for example, offers an 18-month free Supercharging period for cash purchases, a $7,500 lease incentive, and a free upgrade on select inventory. The Model 3, on the other hand, provides 18 months of free Supercharging for cash buyers, a $7,500 lease incentive, and a free upgrade on select inventory. These offers are designed to capitalize on the remaining incentives and boost demand in Tesla's strongest market [3].

The Cybertruck, known for its distinctive design and innovative features, also comes with a series of incentives. Customers can enjoy a free 20-inch Cyber Wheel Upgrade with all-terrain tires worth $3,500, 0% APR financing, and a premium connectivity trial for a year. This move is particularly notable given the challenges Tesla has faced in selling the Cybertruck [3].

The expiration of the federal EV tax credit is expected to have a significant impact on EV sales, as it has been a major incentive for drivers to adopt electric vehicles. Tesla, along with other electric automakers, is trying to pull forward demand into Q3 to capitalize on the remaining incentives. However, investor Ross Gerber has expressed a bearish outlook on Tesla's stock, predicting a significant decline to around $200 per share by year-end due to the expiration of the tax credit and challenges with Tesla's robotaxi service [2].

Despite these challenges, Tesla appears to be doubling down on its efforts to secure as many buyers as possible in Q3. The company is offering aggressive financing deals, free upgrades, and leasing incentives to attract customers. With the EV tax credit clock ticking and year-end inventory incentives likely to intensify, Tesla is front-loading its push for Q3 with a mix of financing deals, free upgrades, and leasing incentives [3].

References:
[1] https://electrek.co/2025/07/18/tesla-launches-long-list-new-discounts-incentives/
[2] https://www.ainvest.com/news/bearish-tesla-investor-ross-gerber-predicts-200-share-year-citing-negative-impact-trump-tax-bill-challenges-robotaxi-service-2507/
[3] https://teslanorth.com/2025/07/18/new-tesla-promos-in-the-us-what-you-need-to-know/