Tesla is reportedly gearing up for yet another round of price increases for its models in China, as indicated by sources close to the electric car manufacturer, according to a report from local media outlet Lanjinger today.
While the report did not provide specific details, it aligns with an earlier statement from Auto Home, a prominent automotive website in China, which quoted a Tesla source on November 14, affirming that the Model 3 and Model Y prices are slated to rise once again in the Chinese market.
Tesla’s Shanghai factory, currently the company’s largest in the world with an annual capacity exceeding 950,000 vehicles, produces both the Model 3 and Model Y. Local production and deliveries of the Model 3 and Model Y in China commenced in January 2020 and January 2021, respectively.
The Model 3 variants available in China include the entry-level version with rear-wheel drive and the Model 3 Long Range version with dual-motor all-wheel drive. Meanwhile, the Model Y is offered in three versions: the entry rear-wheel drive, the dual-motor all-wheel drive Model Y Long Range, and the dual-motor all-wheel drive Model Y Performance.
Over the past month, Tesla has implemented three price hikes in China, affecting various models. Notably, on October 27, the starting price of the Model Y Performance saw an increase of RMB 14,000, reaching RMB 363,900 from RMB 349,900. Subsequent increases on November 9 included a RMB 1,500 uptick for the Model 3 Long Range and a RMB 2,500 increase for the Model Y Long Range.
The price adjustments have been attributed to escalating costs, with local media source Elephant News reporting on November 9 that vehicle specifications remain unchanged. According to a Tesla customer service representative cited by Elephant News, fluctuations in vehicle prices are a normal industry occurrence, and adjustments may reflect changes in manufacturing costs. On November 14, the basic Model 3 rear-wheel-drive version and the basic Model Y rear-wheel-drive version saw price increases of RMB 1,500 and RMB 2,500, respectively.
