Tesla has once again modified the pricing of its electric vehicles in China, this time targeting the Model Y Long Range with a modest increase. According to the latest information on Tesla's Chinese website, the starting price for the Model Y Long Range has been raised by RMB 2,000 yuan ($280).
This move results in a 0.66 percent increase, bringing the Model Y Long Range's starting price to RMB 304,400 from its previous mark of RMB 302,400. Tesla confirmed the price hike on Weibo as well, emphasizing a sense of urgency for potential customers who may still be contemplating their orders.
Tesla's manufacturing hub in Shanghai, currently boasting an annual production capacity exceeding 950,000 vehicles, serves as the primary source for the Model 3 and Model Y. This facility stands as Tesla's largest in the world, as highlighted in the company's third-quarter financial report released in October.
Local deliveries of the Model 3 and Model Y, both produced in Shanghai, commenced in January 2020 and January 2021, respectively. The Model 3 lineup in China includes an entry-level version with rear-wheel drive and the Model 3 Long Range version with dual-motor all-wheel drive, priced at RMB 261,400 and RMB 297,400, respectively.
The Model Y, on the other hand, presents three variants in China: the basic rear-wheel drive version, the dual-motor all-wheel drive Model Y Long Range, and the dual-motor all-wheel drive Model Y Performance. Notably, the prices for the basic Model Y and Model Y Performance remain unaffected, standing at RMB 266,400 and RMB 363,900, respectively.
Tesla's recent pricing adjustments mark the fourth instance in the past month, with the latest change following a pattern of gradual increases. On October 27, the Model Y Performance experienced a starting price hike of RMB 14,000, initiating this round of adjustments. Subsequent increments occurred on November 9, with the Model 3 Long Range increasing by RMB 1,500 and the Model Y Long Range by RMB 2,500.
According to local media reports, these price adjustments are attributed to rising costs, with no alterations to the specifications of the vehicles. Tesla's customer service staff noted that fluctuations in vehicle prices are normal, emphasizing the possibility of price decreases if costs were to decline.
Distinct from previous adjustments, Tesla proactively communicated upcoming price hikes to local media ahead of each change in this latest round, providing transparency in a market sensitive to pricing dynamics.