Tesla begins to deliver the Model Y vehicles made in Shanghai to Chinese customers this month.
To be competitive, the Ys are cheaper than some rivals: the starting price is 339,900 yuan ($52,092), the Performance version costs from 369,900 yuan ($56,690).
Elon Musk believes the Model Y with a driving range of 369 mi / 594 km will be the company’s top-seller.
The Tesla Model Y doesn’t qualify for China’s national subsidy for EVs, while the Model 3, also launched in the revised form at the same base price of 249,900 yuan, do qualify.
On the side, subsidies on new energy vehicles (NEVs), such as electric cars, will be cut by a fifth in 2021, according to China’s finance ministry.
Tesla cars are popular in China. This country is the second largest market for the brand after the United States, and will likely become the first one in the future. The company has been ramping up production and sales in China.
This year, Tesla will have to compete with a trio of local startups – makers of electric cars: Li Auto Inc., Nio Inc. and Xpeng Inc.
Source: Automotive News