Tesla China has announced a price cut for Model 3 and Model Y on January 12. As of now, the starting price for the Model 3 is 245,900 yuan (34,400 USD), reflecting a reduction of 15,500 yuan (2,200 USD). Meanwhile, the Model Y starts at 258,900 yuan (36,300 USD), with a price decrease of 7,500 yuan (1,100 USD).
The new Model 3
All new Model 3 cars available in the Chinese market are the latest models. The new Model 3 cars have been delivered nationwide from October 2023. The rear-wheel-drive model boasts a CLTC range of 606 kilometers, a top speed of 200 km/h, and an acceleration time of 6.1 seconds from 0 to 100 kilometers per hour.
The long-range model shares the same top speed but accelerates more swiftly, covering the 0 to 100 kilometers per hour dash in 4.4 seconds, with a CLTC cruising range of 713 kilometers.
Options for the Model 3 include complimentary pure black paint, while pearl white and deep-sea blue paint options are available for an additional 8,000 yuan (1,100 USD). Starry sky gray and flame red paint options can be chosen for an extra 12,000 yuan (1,700 USD).
The refreshed Model 3 interior offers a 15.4-inch central touch screen and an 8-inch rear control screen, providing features such as seat heating, air volume adjustment, and music or video playback. The long-range all-wheel-drive model has a 17-speaker sound system for a “theater-like immersion” experience.
Despite the recent price cut, it’s worth noting that Tesla increased the price by 28,000 yuan (3,900 USD) when it launched the new Model 3 in 2023, so the current price of Model 3 is still higher than last year.
The purchase price of Model Y RD increased instead of falling
In an unexpected move, Tesla has decided to cancel the recommended discounts and insurance subsidies for the Model 3 RD version and Model Y RD version. Previously, the recommendation discount would reduce the user’s cost by 1,750 yuan (250 USD), regardless of the recommender. Additionally, insurance subsidies, ranging from 6,000 to 8,000 yuan (800 to 1,100 USD), were offered irrespective of the insurance company chosen. This policy essentially acted as a cash discount, even for those who decided not to purchase insurance but stored their new car in the garage.
However, with the price cut on January 12, these two incentives have been withdrawn. Furthermore, the bonus for the Model Y RD was smaller, resulting in an unexpected increase in the actual purchase price of the Model Y RD model.
The table below illustrates the specific price changes:
Tesla has raised prices multiple times in China H2 2023
It is worth mentioning that Tesla has made multiple price increases last year:
On October 27, the Model Y Performance took the lead in increasing its price by 14,000 yuan (2,000 USD), with the current price starting from 363,900 yuan (51,000 USD).
On November 9, the Model Y LR increased by 2,500 yuan (400 USD), and the current price was 302,400 yuan (42,400 USD); the Model 3 LR refreshed version increased by 1,500 yuan (200 USD), and the current price was 297,400 yuan (41,700 USD).
On November 14, the price of the Tesla Model 3 RD refreshed version increased by 1,500 yuan (200 USD), with an adjusted starting price of 261,400 yuan (36,600 USD); the Model Y RD version increased by 2,500 yuan (400 USD), with an adjusted starting price of 266,400 yuan (37,300 USD).
Source: Tesla
