Tesla Model 3 and Model Y electric vehicles (EVs) are now cheaper in China after the Elon Musk-led automaker slashes their price tags by nearly 10 percent.
The Chinese website of the giant EV maker confirmed that its Model 3 sedan and Model Y crossover are getting updated pricing.
(Photo : STR/AFP via Getty Images)
Tesla CEO Elon Musk gestures during the Tesla China-made Model 3 Delivery Ceremony in Shanghai. - Tesla CEO Elon Musk presented the first batch of made-in-China cars to ordinary buyers on January 7, 2020 in a milestone for the company's new Shanghai "giga-factory", but which comes as sales decelerate in the world's largest electric-vehicle market.
Tesla Drops Prices in China
As per the latest news story by Reuters, Tesla is now selling its Model 3 and Model Y EVs in Mainland China at roughly 9 percent cheaper.
The Tesla website in China, which lists these hit EV offerings, confirmed the price cut of these two electric cars.
So while the giant EV maker is consistently raising the price of its EVs in the United States, it appears it is doing otherwise in the Chinese territory. Folks in China could now get their hands on Tesla EVs at a much cheaper price.
However, it is worth noting that it is the first time that the American all-electric carmaker has reduced the prices of its vehicles in the Chinese nation.
New Tesla Model Y and Model 3 Prices in China
Reuters notes in its report that the Model Y SUV previously retails for 316,900 yuan or roughly $43,000. But this time, it now sells for a more affordable price tag to the tune of 288,900 yuan or around $39,000, the Chinese Tesla listing confirmed.
(Photo : Joe Raedle/Getty Images)
MIAMI, FLORIDA - OCTOBER 21: People look at a Tesla Model Y electric vehicle on a showroom floor at the Miami Design District on October 21, 2021 in Miami, Florida. Tesla reported $1.6 billion in profits for the months of July, August, and September, a record for them.
On the other hand, the Model 3 sedan, which previously sold for 279,900 yuan or roughly $38,500, now only retails for 265,900 or $36,727.03, Reuters reports.
According to a recent report by Tesla North, the Model Y rear-wheel-drive (RWD) variant gets the biggest discount of up to 28,000 yuan, bringing down its price to $39,882.38 or 288,900 yuan.
Read Also: Tesla Model Y to Debut Track Mode Soon, Elon Musk Says It is 'Hard'
Why Did Tesla Lower the Pricing of its EVs in China?
The Musk-owned EV maker said in its statement to Reuters that they streamline the pricing of their vehicles based on their costs.
Besides the stable supply chain these days, Tesla cited that the improvement of the capacity of its Shanghai Gigafactory contributed to the lower pricing of its EVs in China.
Meanwhile, Tesla North reports that the EV maker says that it "adheres to the principle of openness and transparency in prices."
Related Article: Tesla Secures Best-Selling Car Spot in Germany, Delivered Almost 10,000 Model Y Vehicles
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Written by Teejay Boris
