A subsidy for replacing gas vehicles and other large appliances will continue to be available to those in Shanghai, offering as much as RMB 10,000 ($1,475 USD) for the trade-in of an old registered vehicle (via @TslaChan).
The subsidy renewal comes as part of the “Shanghai Action Plan to Boost Confidence, Expand Demand, Stabilize Growth and Promote Development,” and is available to anyone who trades in a vehicle registered in Shanghai before June 30, 2023, and purchases an electric vehicle (EV) instead.
Along with the RMB 10,000 subsidy, the benefits of the program also include exemption from vehicle purchase tax and a free license plate, dropping EV prices even further.
With the subsidies applied, Tesla’s base-level Model 3 and Model Y now start at RMB 219,900 (~$32,435 USD) and RMB 249,900 (~$36,860 USD), respectively.
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Tesla Stock Rally Continues After China EV Registrations Surge, Following Price Drops https://t.co/cNNDoqt4gf
— TeslaNorth.com (@RealTeslaNorth) January 17, 2023
The news also comes just weeks after Tesla cut the price of the entry-level Model 3 and Model Y trims, putting pressure on China-based rivals and stimulating demand for its vehicles.
Delivery wait times for the Model Y increased in China following the price cuts, ranging from 2-5 weeks for estimated delivery times. Previously, both the LR and RWD variants of the Model Y showed 1-4 weeks as delivery waits.
During a fourth-quarter earnings call held last week, CEO Elon Musk said demand for Tesla’s cars is at an all-time high.
