Tesla Starts Offering 0% Financing on Model 3, 1.99% Financing on Cybertruck, $1,100 Subsidy in China

Last Updated on: 7th March 2025, 12:52 am

Tesla has started offering its end-of-quarter incentives to stimulate more demand, at the beginning of March. It feels a bit early to be pushing these out, but it has been similar in recent quarters.

I received an email today that Tesla Cybertruck financing is at its lowest to date. They’ve reduced the base financing rate to just 1.99% APR for up to 60 months (and 2.99% APR for up to 72 months). Additionally, if you buy a Foundation Series Cybertruck (still available), you get free Supercharging for as long as you own the truck.

Aside from the Cybertruck, Tesla has started advertising 0% APR on the Model 3 on its US website. Naturally, this implies Tesla is having a harder time moving the Model 3 than the Model Y — even though it’s the new upgraded Model Y that customers should be waiting for. If the explanation for Tesla’s weak sales is that people are waiting for the new Model Y, what does this latest incentive for the Model 3 say about its ongoing demand?

Then there’s also the new incentive for customers in China, where Tesla sales have seemingly collapsed in 2025. Tesla is now offering 8,000 yuan ($1,100) insurance subsidies to Chinese buyers to try to get them into a new Tesla before the end of the quarter. The subsidy goes until March 17 (for now).

It’s only the beginning of March. Let’s see what other incentives pop up by the end of the month to try to move more product, something Tesla is finding harder and harder to do — even while EV sales of many other manufacturers are on the rise, sometimes a steep rise.