Some expect that a new subsidy for Tesla buyers in China could signal upcoming price changes, after weeks of the automaker dropping wait times on its electric vehicles (EVs).
Tesla began offering insurance subsidies in China that some expect to precede possible price cuts, according to a report from CnEVPost.
Those who get deliveries from September 16 to 30 and purchase vehicle insurance are eligible for a subsidy of RMB 8,000 ($1,140 USD), no matter which model they choose.
Tesla’s Gigafactory Shanghai currently produces only the Model 3 sedan and the Model Y SUV, with two trims available for the Model 3 and three trims for the Model Y.
Tesla Considers Closing Some Expensive Showrooms in China, Says Report https://t.co/1ezSwaGJi5
— TeslaNorth.com (@RealTeslaNorth) September 15, 2022
Tesla sells its entry rear-wheel-drive Model Y in China for RMB 316,900 ($45,376 USD), while its dual-motor Long Range and Performance trims cost RMB 394,900 ($56,545 USD) and RMB 417,900 ($59,838 USD), respectively.
The Tesla Model 3 starts at a price of RMB 279,900 ($40,078 USD) for the entry-level trim option while the Model 3 Performance starts at a price of RMB 367,900 ($52,679 USD).
The news of the insurance subsidy comes after several cuts to delivery wait times for Tesla buyers in China, with the most recent change offering delivery of all of the automaker’s models in as little as one week.
The drop in wait times occurred after major production upgrades at Giga Shanghai boosted production output.
