On November 9, Tesla China announced that its Model 3 Long Range and Model Y Long Range had increased, while the prices for other versions of these models would remain unchanged.
Precisely, the price of the Model Y all-wheel drive long-range version was adjusted to 302,400 yuan (41,500 USD), up from 299,900 yuan (41,200 USD). This marks an increase of 2,500 yuan (300 USD), translating to a 0.8% price hike.
The price of the Model 3 Long Range refreshed version saw a minor increase, rising to 297,400 yuan (40,800 USD) from the previous 295,900 yuan (40,600 USD). This amounts to a 1,500 yuan increase (200 USD), reflecting a 0.5% price bump.
One noteworthy aspect of this price adjustment is that Tesla China officials provided advance notice on November 7 that some prices for Model 3 and Model Y would increase on November 9. This proactive communication allowed Tesla to receive additional orders in China on November 7 and November 8.
Tesla indicated that the Model Y completed its comprehensive facelift for all models on October 1. This refresh included the addition of multi-color ambient interior lighting, fabric materials for the dashboard and front door trim, and updates to its exterior design featuring a 19-inch Gemini wheel.
As it stands, Tesla offers two configurations for the Model 3: Rear-Wheel and Long Range, priced at 259,900 yuan (35,700 USD) and 297,400 yuan (40,800 USD), respectively. Meanwhile, the Model Y is available in three models: Rear-Wheel, Long Range, and Performance, with prices set at 263,900 yuan (36,200 USD), 302,400 yuan (41,500 USD), and 363,900 yuan (50,000 USD), respectively.
Tesla’s gross profit margin is lower than some competitors, such as BYD. Some analysts believe that Tesla may increase prices to increase gross profits. However, some analysts are worried that continuing to increase prices in the Chinese market may lose market share and affect sales.
Source: Tesla China