Tesla (TSLA) slashes prices in China on Model 3 & Y

Tesla is seemingly reducing its pricing on vehicles in China. This selective market price reduction saw several versions of the Tesla Model 3 and Model Y vehicles get a notable slash in their overall pricing. Moreover, some of the cuts reach double digit percentages in their reduced price.

Tesla’s change in price in China was spotted by a number of investors, including Twin Burch co-founder Sawyer Merritt. As Merritt points out, the reduction in price (in estimated USD from CNY conversions) is as follows:

Model 3 RWD: $33,023 (11.7% drop)
Model 3 P: $48,014 (5.7% drop)
Model Y SR: $37,826 (10% drop)
Model Y LR: $45,103 (13.4% drop)
Model Y P: $52,381 (9.5% drop)

Sawyer Merritt and Matthias Fons share details of the change in price in Tesla vehicles in China in both USD and CNY.
Source: Twitter

This is an interesting move to see for Tesla and it is unknown whether or not more regions will follow. In several regions, including the United States, Tesla EVs have gone up in price in what has largely been attributed to inflation. It’s gotten to the point that during the company’s Q2 2022 earnings results conference call, Elon Musk himself stated that the company’s vehicle prices are “frankly at embarrassing levels.” It could also simply be that Tesla is attempting to remain competitive in a more difficult market. Tesla has no lack of legitimate competition in the electric vehicle industry in China. Groups like BYD and Xpeng have been launching vehicles and products that compare to Tesla’s and gaining ground with Chinese consumers.

Whatever the reason, it looks like it’s a pretty good time to go shopping for a Tesla EV in China at the moment. Stay tuned as we continue to follow for further updates and check out further Tesla and electric vehicle coverage.