Tesla’s new Model Y has quickly gained traction in China, racking up 200,000 orders since pre-orders began on January 10, 2025, according to NetEase News (via @Tslachan). The 2024 best-selling electric SUV, which sold 481,000 units last year, now features updated specs and pricing that remain competitive amid growing competition from domestic EV makers.
The new Model Y starts at ¥263,500 ($36,600 USD) for the rear-wheel drive version with a 593 km range, while the long-range version is priced at ¥303,500 ($42,200 USD) with a 719 km range. Unlike past Tesla updates that saw significant price hikes, this refresh only increased the base model’s cost by ¥13,600 ($1,900 USD).
Despite this success, Tesla is facing increased competition from Chinese EV brands. The Xiaomi SU7 sedan outsold the Model 3 for two consecutive months, and upcoming rivals like the Xiaomi YU7 SUV, XPeng G7, and Li Auto i7 are set to challenge Tesla’s dominance in 2025.
Tesla started delivering the new Model Y on February 26, 2025, and showroom test drives are now available across China. While in-store visits appear lower than previous launches, Tesla sales representatives report strong online orders, with some Beijing stores selling up to 100 units per day.
Tesla also introduced limited-time incentives for early buyers:
These promotions have helped convert many early orders into finalized purchases, with over 6,000 deliveries nationwide in the first week.
Alongside the Model Y refresh, Tesla also launched its Full Self-Driving features in China. The update enables features like traffic light recognition and U-turn assistance, bringing it closer to FSD-like capabilities.
However, Tesla is not actively pushing customers to purchase FSD, which costs ¥64,000 ($8,900 USD) upfront. Sales staff warn that the current system relies on foreign-trained AI models, making it less optimized for Chinese roads. Instead, Tesla plans to introduce a monthly subscription model for FSD, which could be a more affordable option for users.
Looking ahead, Tesla’s key goal in China for 2025 is the introduction of the Cybertruck. The futuristic electric pickup has seen high global demand, with CEO Elon Musk previously stating orders exceeded one million. However, production has been slow, with estimates suggesting only 35,000 to 50,000 Cybertrucks will be delivered in 2024—far from the anticipated millions.
