Tesla lowered the base price by roughly 9%, which combined with a subsidy, brings the price down 16%.
The Made-in-China (MIC) Model 3 has become more affordable and more competitive, undercutting the BMW 3 Series and Mercedes-Benz C-Class.
Tesla was offering the Model 3 Standard Range Plus produced at the Gigafactory 3 from 355,800 yuan ($51,080). Now it's available 9% cheaper, at 323,800 yuan ($46,486), which after including the 24,750 yuan ($3,553) of subsidies, the effective price is 299,050 yuan ($42,933) - 16% lower than previously.
Some note that the entry-level Model 3 is now cheaper than the BMW 3 Series (313,900 yuan) and Mercedes-Benz C-Class (308,000 yuan).
We read that Bloomberg's report that Tesla MIC cars are exempt from the purchase tax in China (as a first foreign car manufacturer), worth about 10% of the price.
Bloomberg said in December also that the price of MIC Model 3 would be lowered by 20% or more in the second half of 2020.
Prices of the other two versions remain the same (no subsidies eligible):
- Long Range AWD - 439,900 yuan ($63,154)
- Performance Long Range AWD - 509,900 yuan ($73,203)