Tesla Model Y Price Increase in China Hasn’t Dampened Demand, Report Says
Tesla recently increased the price of the Model Y in China, and despite the slight increase, consumers are still purchasing the all-electric compact crossover SUV.
On Monday, Teslarati reported that the Tesla Model Ys demand in China hasn’t changed very much, in spite of a recent pricing increase, as per research from media outlet Caijing. Tesla increased the pricing of its Long Range All-Wheel Drive and Performance variants from ¥339,900 to ¥347,900 and from ¥369,900 to ¥377,900, respectively.
Tesla’s Model Y also reached China’s top three-selling vehicles for the first time in several months, after a slow beginning to the year. According to @ray4tesla, a Caijing reporter visited Tesla stores in Shanghai many times during last week and a random survey saw many still willing to order a Model Y, despite the slight price bump.
After 8k CNY price hike, store foot traffic remains unchanged citing media report. Reporter visited Tesla stores in Shanghai multiple times between March 24 & 27. Out of 20 customers interviewed, 13 are willing to pay the difference & 7 may place orders after “price stabilized”. https://t.co/DvtByVYNO6 pic.twitter.com/Y2tKgjgcyp
— Ray4Tesla⚡️🚘☀️🔋 (@ray4tesla) March 28, 2021
Following China’s ban on military personnel in the wake of security concerns, Tesla head Elon Musk laid the compliments on the Chinese auto market thick, also stating that the country would become the long-term “biggest market” for Tesla, while also noting that the company would be shut down if it were spying on cars.
Musk said, “China in the long term will be our biggest market, both where we make the most number of vehicles and where we have the most number of customers,” Musk said. “I’d like to strike an optimistic note, and I’m very confident that the future of China is going to be great and that China is headed towards being the biggest economy in the world and a lot of prosperity in the future.”
After a major price cut earlier this year, Tesla also outsold automakers like Xpeng Motors and NIO.