Tesla Prices Model X In Canada From $119,000 – Currency Woes Abound, Help Coming

MAR 10 2016 BY JAY COLE 41

Tesla Model X This Month In Geneva

Tesla Model X This Month In Geneva

Anxious Canadians finally received pricing on their Model X reservations this week (Tuesday), and thanks to some particularly ugly currency swaps over the past 3 months and a Model X built in California, some sticker shock has ensued.

The pricing basics for Canada (all figures plus $1,300 DST):

*- base Model X 70D – from $119,000 ($89,500 USD)
*- Model X 90D – from $142,300 ($107,000 USD)
*- Model X P90D – from $156,800 ($129,300 USD)
*- Model X P90DL – from $195,900 ($147,500 USD)

The “Ludicrous” option goes for $14,800 ($11,100 USD).  A fully optioned out Model X P90DL can go for north of $206,000 ($155,00 USD)

Looking at the comparative price in US dollars draws some raised eyebrows, as the Model X starts at $80,000 in the US, and the P90D from $115,500.

Base Tesla Model X70D Canadian Pricing

Base Tesla Model X70D Canadian Pricing

Tesla Model X At Canadian International Auto Show In February - Not Surprisingly Pricing Was Not Available At The Time

Tesla Model X At Canadian International Auto Show In February – Not Surprisingly Pricing Was Not Available At The Time

The reason for this descrepency is fairly simple – it’s the currency swap.

As such, we expect Tesla to adjust these prices down quickly as many Canada reservation holders have balked at these numbers (more on that in a bit).

Simply put, the Canadian dollar had a precipitous drop beginning December 5th and lasting through January 19th, moving from a value of 75 to 68.5.  A 10% move such as this in just ~5 weeks is almost unheard of.

The Canadian dollar’s fall was due to the further collapsing of oil prices in the first 6 weeks of the year (something Canada relies on heavily for revenue), and an interest rate environment on the wrong end of the dollar trade (up in US, down in Canada).

At the time, it seemed like the drop was near endless, and the Canadian dollar would be depressed for an extended amount of time.  Clearly, Tesla reacted to this situation at this time and acted accordingly.

Tesla Priced The Model X Only Recently...But Not Recently Enough

Tesla Priced The Model X Only Recently…But Not Recently Enough

However, as quickly as the dollar fell, both of those factors have now flipped  – and mostly over the past 2 weeks.

From late January, Crude has gained ~35% and the prospect for those 4 previously forecasted US interest rate increases have vanished, while at the same time, the talk of Canadian rate decreases have ended.  The net result has caused the Canadian dollar to move from being worth 68.5 US cents all the way back to 75.3 cents.

So the trend which had seemed to doom the Canadian dollar to continue to fall to new lower lows (and of which Tesla reacted to when pricing the Model X), has now made a complete about-face, and now looks to continue the recent strengthening trend going forward.

Our nutshell advice to Canadians (and no Tesla won’t like this), let Tesla know you won’t be ordering your Model X until someone at the company picks up a recent copy of the Financial Times to learn that the world has once again changed.  Or if you aren’t into complaining, just sit on your hands for awhile…Tesla will figure it out.

 

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41 Comments on "Tesla Prices Model X In Canada From $119,000 – Currency Woes Abound, Help Coming"

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Driverguy01

Not only are Canadian prices ludicrous, but Tesla has also raised their used car prices on cars already sold in the Canadian market. how crazy is that?
I’ve been looking for a used MS for the past year and just as prices were beginning to fall in ”affordable” territory, BANG! They raised their used car prices OVER 12%!
A car selling for $72K one day was suddenly selling for $82,500 the next day.
I feel that once the car is sold in Canadian currency, in Canada, it should not be subject to the US dollar anymore.
Just sayin’.

evcarnut

CANADIAN PRICES ARE 0UTRAGIOUS! to say the very least……….

jerryd

EVCARNUT, they are the same price as US, just the Canadian $ has dropped in value.
The smart thing is buy in US$ and as the Cn$ rises as oil price rises back, makes the Tesla 20-30% off.

evcarnut

Our dollar has taken a Huge hit lately,It was par & up to 15% better not long ago., that would be Ideal,If we ever see that again…High dollar values are hard on the US economy as well. but I can live with a $45,000 Model# Price tag, Tax In it’ll about $52,500 minus the after tax rebate of $14,500..still not too bad if the car turns out nice with decent range…

Mark

Wow, glad I bought my inventory S for 65k cdn when I did. I had an X reservation, but even if prices dropped 10k I couldn’t afford it.

evcarnut

FYYI…0il has very little to do with the fall of the canadian dollar….we are not saudi arabia …the American dollar is artificially too high for N0 good reason ,0ther than PARTLY….$USD $$$ are still utilized in the commodities markets ie: gold ,silver 0il etc: 0ther than that, the So called Federal reserve MANIPULATION Which is Run By the Elite Rich Bankers are keeping tthe USD$$ Up.,, messing up the USA Economy & the Manufacturing in USA.((((most products are made 0ffshore by American companies That don’t Pay USD$$ Taxes))))….There is N0THING federal about them ! 0nly a bunch of greedy rich people Manipulating the US economy & the American masses to satisfy there enormous $$$ Greed .SO STOP BUYING ALL THE IMPORTED “JUNK” & BUY “USA” MADE G00DS 0nly!!!!.., Whatever little they make in the USA anymore!.

evcarnut

BTW…….USA Produces much more 0il than Canada …So then “WHY” Isn’t the $$USD$$ DOWN T00????????So That Article Is Pure “HUNGAWA” BS!

Driverguy01

Because the Canadian economy has been based on dirty tar oil exportation for the last 10 ”Conservative Government” years. The US economy is hardly based on fracking juice afaik.
Let this be a lesson for the US people for the next election.

Pushmi-Pullyu

Far too much of the U.S. economy is based on “fracking juice”, as you put it. Unfortunately, the stock market rises and falls on the strength of oil futures.

But we Americans export very little of our oil, unlike you Canadians, and that does make oil production’s effect on the U.S. economy much more stable.

Dan

The US dollar doesn’t track oil like the Canadian dollar because the US has a more diversified economy.

kdawg

Since Teslas are bought online and made to order in the US, why can’t they just price them in US dollars and let the current exchange rate be what it is at time of order?

Driverguy01

+1 Kdawg

Robert Weekley

+1000!
Beyond that, can Canadians buy a US order fo delivery, but plate/register it in Canada for rebates?

Mark

Tesla’s are not importable from USA to Canada. Other way around is ok. This is why used prices have gone up. Americans are coming up here and scooping up our CPOs for a discount.

JakeY

That only makes sense if Tesla does not do any currency hedging (and doesn’t plan to in the future). Also marketing-wise it’ll be a mess since the price will be changing everyday.

kdawg

Just advertise the price in USD on the website. Tesla doesn’t really market their car, so not a big deal there.

zzzzzzzzzz

Currency hedging is good for short-term exchange rate peaks if you can’t self-insure against them, but it doesn’t help for long term rate changes that stay for many years. Their factory and probably many suppliers are in the US and so the prices are tied to USD.

Robert Weekley

So, will Model 3 reservation deposits be $1,000.00 US in Canada, or will they end up being $3,000.00 Canadian?

SparkEV

How did you end up at $3000? It could be $1333 CDN at current exchange rate.

ModernMarvelFan

So, if the exchange rate stays the same by the time Model 3 comes out, the $35K Model 3 will start at $46.5K in Canada… LOL

And will the $1K deposit cost $1.32K on April 1st for Canadians?

Where are all the Canadian Tesla Fan Boys when you need them? LOL.

Mark

We are here! LOL

Yes, fully expecting Model 3 to start around 45k here, unless our dollar improves between now and then.

Deposit I expect to be $1000-$1300

Marc

Nuther one here!
Lemme tell you a little secret: Saudis will eventually shut the oil valves… they can’t afford this indefinitely.
If the CDN dollar is so low right now, imagine what will happen after the Saudis decide they’ve had enough!

If I were American, I’d buy as many Canadian Teslas as I could (perhaps buying CDN dollars would simpler, but we’re on an EV site with EVs as the official currency), and I’d wait it out.

Opec greed isn’t known to be patient.