Tesla has introduced a new five-year, zero-interest financing offer in China for its refreshed Model Y, intensifying its promotional efforts to spur demand in an increasingly competitive electric vehicle (EV) market.
Chinese customers purchasing any Model Y variant before June 30 can now benefit from the five-year interest-free financing, the U.S. EV maker said in a statement posted on its official Weibo account. The offer includes a minimum down payment of RMB 79,900 and monthly payments starting at RMB 3,060.
See also: Tesla Postpones Rollout of Cheaper Model Y Variant
Tesla began deliveries of the updated five-seat Model Y in China on February 26, following its official launch on January 10. The model is available in rear-wheel-drive and long-range all-wheel-drive versions, with current starting prices of RMB 263,500 and RMB 313,500, respectively.
This latest offer follows earlier promotions, including a three-year, zero-interest financing deal introduced in March for both the rear-wheel-drive and long-range versions of the Model Y. On March 18, Tesla also raised the price of the long-range variant from RMB 303,500 to RMB 313,500.
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The enhanced incentives come as Tesla faces mounting pressure from local rivals such as BYD and Nio, which have been aggressively launching new models and price cuts. “Tesla’s bigger promotion for the updated Model Y comes at a time when competition in China’s EV market is getting tougher,” the company said in its announcement.
Tesla’s five-year zero-interest financing also remains available for the Model 3 sedan through June 30. In addition, the automaker has extended an RMB 8,000 insurance subsidy for all Model 3 variants, which was originally set to expire on February 28 and later extended to April 30.
Current delivery wait times remain unchanged. Customers in China can expect to wait one to three weeks for the entire Model 3 lineup, two to four weeks for the entry-level Model Y, and three to five weeks for the long-range Model Y.
Teslaās Model 3 is sold in three variants in the Chinese marketārear-wheel-drive, long-range, and performanceāstarting at RMB 235,500, RMB 275,500, and RMB 339,500, respectively.
Additionally, Tesla unveiled a new Star Diamond Black paint option for both the Model 3 and Model Y on Friday, priced at RMB 8,000.