Bengaluru — Electric carmaker Tesla has backed off its plan to close all of its US stores and instead will raise prices of its high-end vehicles by about 3% on average, as it strives for profitability. The company said it would close only about half as many stores than initially planned in a widely criticised move earlier in March to cut overheads and shift its whole distribution network online. “Over the past two weeks we have been closely evaluating every single Tesla retail location, and we have decided to keep significantly more stores open than previously announced,” the electric carmaker said. “As a result, Tesla will need to raise vehicle prices by about 3% on average worldwide.” Separately, CEO Elon Musk has to explain why he should not be held in contempt for recent tweets that US securities regulators say violated a September fraud settlement. The case is the latest major challenge by authorities to Musk’s leadership as Tesla seeks to make good on his promises to Wall Stre...

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