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Tesla slashes Model Y and Model 3 prices in China

Tesla has updated its Model Y prices in China to reduce them on most versions of the electric SUV and offers a new incentive on Model 3.

China remains the biggest EV market in the world and one of the most important markets for Tesla.

Throughout the first half of the year, Tesla initiated a price war in the Chinese EV market with a series of price drops across its entire lineup. However, Tesla had stopped adjusting its prices downward in China since May.

Now it is back at it, at least for the Model Y.

This weekend, Tesla updated its online configurator for the Model Y in China for the Long Range and performance versions:

Tesla slashed the prices by as much as ¥14,000 or about $1,900 USD:

  • Tesla Model Y Long Range: from ¥313,900 to ¥299,900
  • Tesla Model Y Performance: from ¥363,900 to ¥349,900

Tesla is also implementing a new early end-of-quarter incentive on the base Model 3.

The automaker wrote on the Model 3 configurator:

If you place an order for the current Model 3 rear-wheel drive version and complete the delivery within the time limit, you can enjoy an insurance subsidy of 8,000 yuan.

Tesla says that buyers need to take delivery by the end of September to take advantage of this incentive.

The incentive is coming at a time when Tesla is expected to update the Model 3 production in China to switch to the next-generation of the electric sedan.

Tesla might be looking to sell the remaining units of the previous generation as it transitions to the new one.