Tesla has raised the Model Y Long Rang’s starting price in China by RMB 2,000, the fourth price hike in the past month, although the moves are for different models.
(Image credit: CnEVPost)
Tesla (NASDAQ: TSLA) has once again raised the price of one of its versions of a model by a small amount in China, following previous warm-ups.
The US electric vehicle (EV) maker today raised the starting price of the Model Y Long Range in China by RMB 2,000 yuan ($280), according to the latest information on its Chinese website.
The move brings the Model Y Long Range’s starting price in China up 0.66 percent to RMB 304,400 from RMB 302,400 previously.
Tesla announced the price hike on Weibo as well, seemingly aimed at encouraging potential customers who are still on the sidelines to place their orders as soon as possible.
Tesla has a factory in Shanghai that produces the Model 3 as well as the Model Y. The factory currently has an annual production capacity of more than 950,000 vehicles, its largest in the world, according to the company’s third-quarter financial report released in October.
Volume deliveries of the locally produced Model 3 and Model Y in China began in January 2020 and January 2021, respectively.
The Model 3 is currently offered in two versions in China — the entry-level version with rear-wheel drive, and the Model 3 Long Range version with dual-motor all-wheel drive — and they continue to be priced from RMB 261,400 and RMB 297,400 in China, respectively.
The Model Y is offered in three versions in China — the basic rear-wheel drive version, the dual-motor all-wheel drive Model Y Long Range version, and the dual-motor all-wheel drive Model Y Performance version.
Prices for the basic Model Y and Model Y Performance remain unchanged today at RMB 266,400 and RMB 363,900 respectively.
Prior to today’s price hike, Tesla had already made three price increases in China in the past month, albeit for different models.
On October 27, the Model Y Performance’s starting price in China was raised by RMB 14,000, the start of this latest round of price hikes.
On November 9, the Model 3 Long Range went up slightly by RMB 1,500 in China, and the Model Y Long Range went up by RMB 2,500.
The price increase was due to rising costs, and the specification of the vehicles has not changed, local media Elephant News said on November 9, citing Tesla customer service staff.
It’s normal for vehicle prices to go up and down, and if costs go down, prices may go down, the staff said.
On November 14, the price of the basic Model 3 increased by RMB 1,500, and the basic Model Y increased by RMB 2,500.
Unlike previous direct price increases, Tesla released information about the upcoming price hikes in advance in its communication with local media before each price increase in this round.
This communication strategy, as well as the relatively small recent increases, look more like they are designed to generate public attention than due to supposed rising costs.
Tesla unveiled the revamped Model 3 in China on September 1 and began official sales of the sedan on October 19. On October 26, Tesla said it had begun deliveries of the new Model 3 in China.
On October 1, Tesla launched an updated Model Y in China, with unchanged pricing but minor updates to features. On October 15, the company said deliveries of the new Model Y in China had begun.
Tesla sold 72,115 China-made vehicles in October, including 43,489 for export and 28,626 in China, according to the China Passenger Car Association (CPCA).
The Model Y sold 26,353 units in China in October, and the Model 3 2,273.
(A poster posted by Tesla on Weibo.)
($1 = RMB 7.1693)
Tesla Oct sales in China: Model Y at 26,353, Model 3 at 2,273
