Tesla says orders placed before October 15 are eligible for a total tax credit of $ 7,500



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Customers view a Tesla Inc. Model S electric vehicle on display at the company's show in Newport Beach, Calif., USA, on Friday, July 6, 2018. Tesla Inc. has taken a major step toward achieving this goal. Elon Musk's goal of offering electric cars to the popular masses. - and make some profits in the process - finally surpassing the long-sought production goal with the Model 3. Photographer: Patrick T. Fallon / Bloomberg via Getty Images

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Customers view a Tesla Inc. Model S electric vehicle on display at the company's show in Newport Beach, Calif., USA, on Friday, July 6, 2018. Tesla Inc. has taken a major step toward achieving this goal. Elon Musk's goal of offering electric cars to the popular masses. – and make some profits in the process – finally surpassing the long-sought production goal with the Model 3. Photographer: Patrick T. Fallon / Bloomberg via Getty Images

This means that Tesla will have until the end of the year to grant full tax credits, which could result in a new wave of orders and affect the production and delivery chain, already very sought.

Tesla has strived to deliver the Model 3 – a mass-market saloon that it hopes will be the key to success – and many customers have been waiting since early 2016.

The vehicles have piled up in lots in California while waiting for transport. Musk said last month that Tesla had gone from "the hell of production to the hell of delivery logistics".

Friday's news confirms that many customers may still have to wait three months or more. Musk said earlier this month that an increase in production in the third quarter had pushed it to the limit of its profitability.

The reduction in tax credit may put Tesla at a disadvantage, with competitors such as Mercedes-Benz, BMW AG and Audi AG marketing electric models offering a full tax credit.

This also adds to what has been a bad month for Tesla, who has seen more and more calls for closer monitoring of Musk, whose recent erratic behavior of the public has raised concerns about his ability to lead the losing money company into a difficult growth phase.

The company recently filed a lawsuit with the US Securities and Exchange Commission that threatened to coerce it out.

Electrek, who previously reported the deadline for new orders, described the company's latest move as an attempt to boost sales.

However, the incentives could go if a new bill, introduced by a Republican senator to end the federal tax credit for electric cars, was passed, reported Electrek.

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