Tesla Raises Price Of Model S & X In China

Electric Cars

DEC 7 2016 BY ERIC LOVEDAY 22

Tesla China recently announced a price increase for both the Model S and Model X in China.

Image Credit: Evannex

Image Credit: Evannex

Citing a strong dollar value (a problem for the company today all around the world), Tesla China will once again increase pricing across the board. China Daily reports the price increase as follows:

“The price of the Model X will increase between 56,700 yuan ($8,200) and 79,700 yuan ($11,565) to 920,700 – 1,413,900 yuan, while the Model S will go up between 15,400 ($2,235) and 37,100 yuan ($5,388) to 688,900 – 1,315,200 yuan.”

To the best of our knowledge, this is at least the third time in which Tesla has increased pricing in China due to currency fluctuations. On previous occasions, Tesla only increased the price of certain versions of the S or X, but this time around the price increase appears to be on all versions of both models.

Somewhat related, Tesla increased U.S. pricing by $2,000 for the Model S in late November.

Source: China Daily

Categories: Tesla

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22 Comments on "Tesla Raises Price Of Model S & X In China"

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I understand that china is about to levy an ultra luxury car tax.

Counterintuitively raising the prices in china may increase sales.

Forget about keeping up with the jones it’s damn near a rerun of the indy 500 keeping up with the Lins!

Good point except that starts at 1.7 million yuan, so Tesla just squeaks in. Also not sure that pure evs don’t get a tax break of some sort.

Also the strong dollar vrs the falling Yuan, as China continues to weaken its currency.

Weaken……it’s going into “correction” territory…..lol

All their manipulation is catching up to them.

Now it they didn’t have such a fatass tariff on US goods Tesla may have a fighting chance there.

If China “float” its currency tomorrow, Chinese Yuan would have instantly depreciates about 20% against the dollar!

Weakening is due to poor economic condition!

+1. Nice that someone understands.

Not sure about the 20% though.

Okay, it was part of “figure of speech”… =)

But it would drop a lot more than what people have accused of it being “manipulated”…

They can afford it, so why not!

Its real simple: IF Trump brings manufacturing back to the US, China’s economy will decline some, so the currency is floating down in anticipation of this.

I think if they start reopening factories in the US it will create substantial jobs and tax money.

As for automation I’ve noticed lately that the media or business officials have kind of been treating it like a bogyman in the closet type of issue.

The reason why in a lot of cases automation is a bogyman is that in a lot of restaurants with self check out there a still alot of people.

Also on the TV show how it’s made a lot of US factories are heavily automated were you don’t see that many factory workers in the show. And has been this way the last 15 years at least.

Sure, even 15 years ago there was heavy automation in a lot of factories. But the trend toward replacing skilled and semi-skilled workers with robots is increasing every year.

There used to be a truism that automation only replaced low-wage jobs, and that those who lost jobs due to automation could be trained for better, higher paying jobs. That was certainly true back in the days of the Luddites, in 1811. But it is increasingly clear that this trend has changed in recent decades. America has lost a lot of good paying blue-collar jobs, and the “replacements,” such as they are, seem to be mostly low-paying service jobs.

A generation ago, there was still a widespread belief in America that if you worked hard and kept yourself out of trouble, your children could have a better life than you did. This is no longer the case for any but the wealthy in America.

There are a lot of ways that the richest 1% are concentrating wealth in their own hands, at the expense of the middle class and working poor. Increasing automation is just one of those methods, but it’s an important one.

Most young Americans don’t want factory blue collar jobs.

Factories are not “coming back” to the US. Generally speaking they never left. A small percentage of jobs left but mostly jobs were lost. Eight million of them in fact. But production didn’t decline. In fact it freaking doubled! Basically you now need 12 millions workers to produce twice as much as you produced with 20 million workers.

And that secular trend of needing fewer workers to produce more goods is not going to change.

A high US$ will hurt all US exporters to all parts of the World not only China.

Yes. Perversely, Trump has already massively damaged US manufacturing — because Wall Street reacted to his election by causing the dollar to rise. (I can’t imagine why.)

This is one reason why major manufacturers like to produce cars where they’re going to be sold. Tesla may be reluctant to do this given all the technology transfer requirements it might have to meet.

But didn’t Tesla already publicly release all their patents, so as to encourage more automakers to build EV’s with?

What’s to stop some Chinese company from building the “Edison” electric vehicle, that’s essentially a Tesla?

Tesla have shared all its patents but not trademarks. Elon wants people to use the patents to build EVs. So as long as they do not look the same I think he’ll be happy.

I think you meant intellectual property not “trademarks.”

Trademarks are symbols and logos to define corporate identity or ownership.

Besides there is a lot of fine print in that “All our patents are belong to you” Tesla offer.

Yeah, there is a “poison pill” clause in the “terms of service” if you actually want to take Tesla up on its offer of what amounts to a free license for its patents. It says, basically, that any company which uses Tesla’s patents agrees to let anyone use that company’s patents just as freely (details in link below).

Probably not gonna happen with any major auto maker. I can see that some small startup might be willing to do that, at least for its first few years of business. But every manufacturing company wants to develop its own proprietary intellectual property, to distinguish its products in the market.

There is also the question of what patents Tesla owns, and what it doesn’t. Tesla Motors got its start by licensing AC Propulsion’s EV tech. Patents only last 20 years, so perhaps those have run out by now. But any which haven’t, still belong to AC Propulsion, and not Tesla Motors.

https://www.tesla.com/about/legal#patent-pledge

Ash09 asked: “What’s to stop some Chinese company from building the ‘Edison’ electric vehicle, that’s essentially a Tesla?” One thing that I don’t think most people understand is that there is no such thing as an “international patent”*. Patents are country-specific. So there would be nothing to prevent a Chinese manufacturer from making an exact clone of a Tesla car, unless Tesla has been granted patents in China for its intellectual property. Furthermore, patent rights are generally ignored in China, so even if a company such as Tesla was able to procure Chinese patents, that wouldn’t stop Chinese auto makers from copying Tesla’s products. The real problem would come when the Chinese company tried to market its cars in first-world countries which do not ignore patent rights. Concerns about patent rights is one of the reasons why BYD’s first attempt to sell electric buses in California was quashed. Perhaps not the primary reason, but certainly a contributing factor. *If you Google “international patent” you will indeed find something, but what you’ll find is essentially a service which facilitates writing patents in a standardized way which makes it easier to apply for patents in other countries. You still have to apply… Read more »