Tesla Increases Price of Model 3 and Model Y in China

Tesla has adjusted the prices for the long-range versions of its Model 3 and Model Y vehicles in China, citing escalating costs as the primary reason for the change. The price adjustments follow a similar increase for the Model Y Performance at the end of the previous month.

According to a statement from a Tesla customer service representative reported by Elephant News, the price hike is a response to cost increases, and there have been no alterations to the vehicle configurations, reports CnEVPost.

The representative noted that fluctuations in car prices are standard, depending on cost variations, suggesting that if costs decrease, prices could potentially be reduced in the future.

Giga Shanghai, which produces the Model 3 and Model Y, boasts an annual production capacity exceeding 950,000 vehicles, making it Tesla’s largest facility globally.

In China, Tesla offers the Model 3 in two versions: the entry-level rear-wheel drive and the dual-motor all-wheel drive Model 3 Long Range. The Model Y is available in three versions: the entry-level rear-wheel drive, the dual-motor all-wheel drive Model Y Long Range, and the high-performance dual-motor all-wheel drive Model Y Performance.

On October 27, Tesla raised the starting price of the Model Y Performance in China by RMB 14,000 ($1,920), bringing it from RMB 349,900 to RMB 363,900.

As of today, the company announced immediate price increases for the Model 3 Long Range by RMB 1,500 and the Model Y Long Range by RMB 2,500.

While Tesla attributes the price increase to rising costs, industry observers speculate the move may also serve as an incentive for potential buyers who are undecided to proceed with purchases.