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Tesla Vehicles No Longer Eligible for California EV Rebates

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March 29, 2022—New Teslas purchased in California will no longer be eligible for the state's rebates for electric and non-polluting vehicles.

According to a report from Forbes, recent price hikes by the automaker have pushed all of its models past the upper limit of the state's rebate program, which caps eligible new cars at $45,000 and crossovers at $60,000. Tesla's Model 3 sedan now costs $46,990 and the Model Y crossover starts at $62,900 after those increases.

Tesla CEO Elon Musk in a tweet last month said increased prices for materials and shipping were the primary cause for those price hikes.

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