Tesla on Thursday said it would start accepting orders for its Model 3 in the US at a price of $35,000 (£26,400), finally delivering on a promise it made more than two years ago.
To make the lower price “financially sustainable”, the firm said it was shifting to an online-only sales model.
The electric car company announced the Model 3 car in 2016 as an alternative to its luxury offerings.
However, it did not initially offer the car at the $35,000 price promised.
The average cost of a new car in the US was more than $36,000 last year.