Tesla Slashes Model 3, S & X Pricing In China: Up To $51,000 Less

MAR 1 2019 BY DOMENICK YONEY 28

Yuan the base (price) drops.

Telsa vehicles are now a lot cheaper in China. Yesterday saw the introduction of the $35,000 Model 3 in the U.S. and reductions in prices of all variants of the mid-size sedan, as well as Model S and Model X. But the changes made to the company’s sales structure — moving all sales to online-only — have allowed for reductions in prices across the range internationally as well. Especially in the case of the Model X P100D.

In China, the automaker offers eight variants spread across the three current models — the base Model 3 will only be available there in about six months, according to a tweet from CEO Elon Musk (embedded below). Each of those has seen a considerable drop which our friends at Gasgoo chart as follows:

To get an idea of what that means in U.S. currency values, we turn to Vincent Yu, who posted those corresponding values on his own chart on Twitter (embedded below).

Now, the figures don’t exactly match up, but that’s only because the exchange rates vary day-to-day, but they are close enough to give us a very good indication of the savings Chinese customers will now see. In the case of the Model X P100D the difference is a whopping $50,835. The high-performance version of large Tesla sedan, the Model S P100D is also hugely reduced, with a $41,326 saving. Both Model 3 Performance and the Long Range Dual Motor have had their price chopped by $6,557.

The Tesla brand is hugely popular in China and these prices will go some way to allowing many more in the price-sensitive market to fulfill their transportation dreams.

 

Source: Vincent Yu on Twitter, Gasgoo

Categories: Tesla

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28 Comments on "Tesla Slashes Model 3, S & X Pricing In China: Up To $51,000 Less"

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Why don’t you, you know, use the actual names of the vehicles??? A “P100D” is so 2018.

This article has me thinking that as Model 3 goes lower in price, there should be a new model coming, Model 4 above Model 3 to fill the gap between the $35k – $47k Model 3 (excluding performance model) and the $79k – $83k Model 4 (excluding performance). There is a $30k price gap currently that a larger midsize (BMW 5-Series/MB C-Class) starting in the low $50k range needs to fill.

This would mean the next gen S would move up in luxury(s-class starts at $91k), technology, and performance, while the Model 3 continues to move downward to become more affordable to reach the $25k price point.

The new Model 4 would also bring an SUV.

no way they would have a model 4, but maybe a model 5

Model S & X could be Stretched, for Limousine use, too! Probably a smaller market, but another great advertising too! Tesla School Buses, to get the young ones attention, and clean up stinky idling school busses, too!

What new names? I don’t let company marketing departments confuse me by a renaming-du-jour once a product’s been out there for years.
Tesla wants to hide specs by no longer providing the actual battery kWh numbers, that’s their f#$%ing problem. The value (in kWh) of short/mid/long range is bound to change anyway within a year or so as batteries are rapidly changing tech.

Any particular reason for such a huge drop for P models? Some tax or import duty threshold reached?

That’s my question, too. I’m guessing that such a large drop in price indicates that China dropped some fees or tariffs, or that — as you say — Tesla exceeded some threshold to qualify for lower fees or tariffs. I seriously doubt that Tesla would have dropped the price that far just because they were making supply-and-demand adjustments.

Another Euro point of view

Huge price drops (30 to 40%) on Model S and X were also made in Europe since yesterday and no tariff changes took place. Actually those price reductions were so huge that some at Tesla Motors Club made phone calls to have those price confirmed thinking those were mistakes. Here the link:

https://teslamotorsclub.com/tmc/threads/tesla-tsla-the-investment-world-the-2019-investors-roundtable.139047/page-987

I’m curious of the before date. Tesla may have had the 40% price figured in for March 1, 2019. However since the increase in tariffs didn’t happened it’s back to 15% tariff. Also when the 40% tariffs went into effect originally. Tesla lowered the price of the X and S. A lot of details are missing from this article.

Does Tesla get any government incentives in China?

Not really. EVs can avoid license wait lists in some Chinese cities. Teslas qualify for 2019 NEV credits (similar to ZEV credits in California and other states). They have no use for NEV credits, though, and may not be able to find a buyer for them.

Cars made in Shanghai Gigafactory should qualify for buyer incentives, but China is phasing those out.

China gives a $10,000 subsidy for EV’s and doesn’t charge the $12,500 cost for license plates. I don’t know if the subsidy applies to Tesla but I think it applies to license plates.

Another Euro point of view

Actually the narrative of cost reduction through reducing the stores network is a bit hard to swallow.
I mean stores are not really intended to actually buy a car there but more like just exposition halls for people to be able to compare interiors options, colors and how they simply feel sitting in a place they are bound to spend so many hours, all of this BEFORE they order online.
Within a year from now there will likely be like 6 or 7 different options to compare with and majority of buyers will be mainstream people who in the same Saturday morning will want to make a stroll in a Nissan, Tesla, Polestar, Rivian, Hyunday, Toyota, Honda, Skoda, VW, Audi, BMW, Volvo, Jaguar exposition hall, just to have a look, sit and making their short list of cars they want to test drive. For this nothing beats the old fashioned exposition hall with one or two guys giving information. In my view Elon is stuck into a Tesla golden age with fanatics ordering online without comparing, this won’t be the situation anymore as from 2020.

LMAO at “Clean Diesel” driving A-Euro troll!, still insisting that Tesla is doomed because of the laggard, legacy LICE companies he buys from are suddenly going to outproduce Tesla in making compelling EVs.

I wonder if he was stupid enough to bet against Amazon too?

Another Euro point of view

What your sort of Tesla followers do not seem to understand is that by calling people bird names you actually do your favorite brand a real disservice. In case you happen to be able to read/understand/use Google Chrome to actually read comments from articles about Tesla test drive by foreign mainstream car magazines you will often come across people writing about this. I even came across this site that exactly describes people like you, here the link:

https://sniffpetrol.com/2018/05/08/ask-a-total-prick-from-a-tesla-forum/

That’s awesome.

I think you’re a bit hasty lumpiing in Rivian and those ICE OEMs who trickle their EV versions of their ICE models to N. America and Europe to meet regulations and mandates. As an American, I cannot go for a Saturday stroll to drive a Hyundai/KIA,Jaguar,Audi or Volvo EV. In fact, some are years away. When you factor in how fast the scene is changing, it takes a good deal of hubris to predict what Tesla’s scheme or retail outlets may or may not look like in six months let alone 3 years from now. What we do know is that Tesla is full steam ahead, building out it’s Supercharger Network at record pace, while the companies you mention speak of vapor – infrastructure that is spotty and infrequent, Talking a lot about building $80,000 EVs while Tesla just gave us a $35,000 option to drive one NOW. You underestimate Tesla’s draw. I wear a Tesla baseball cap. Each day wherever I go in the ‘States, at least 3 or 4 people mention my hat! “Nice cap!” “Do you own one?” ,They’ll query. I fancy to challenge you that if you wear a VW cap, a Skoda cap, a Hyundai… Read more »
Another Euro point of view

Indeed I can’t possibly judge the US situation and probably Tesla will not reduce the stores network here in Europe as much as in the US. Here Tesla is much less differentiated as compared to other pluggins (just see European pluggin sales charts which is a good mix of different pluggin brands) so stores are needed for brand awareness much more than in the US.

@Another Euro point of view said: “… [Tesla] stores are not really intended to actually buy a car there but more like just exposition halls for people to be able to compare interiors options, colors and how they simply feel sitting in a place they are bound to spend so many hours, all of this BEFORE they order online…”
———————

My understanding is Tesla will continue to keep Tesla “galleries” open and convert some of the existing Tesla “stores” to Tesla galleries.

Although Tesla did not say this my guess is some of the Tesla Service Centers will be upgraded to include a small Tesla gallery. I know that often those interested in purchasing a Tesla will often drive to a Tesla Service Center to view the many color & configuration combinations sitting at the service center lot.

Another Euro point of view

This indeed would be the right way to go I believe.

I had read in another comment somewhere that Tesla also runs test drives out of some of the supercharger locations. This seems smart to me, if they can schedule test drives at those locations it gives them a lot of options. I wonder if they will have test drives and mobile servicing operate out of some of the larger supercharger locations.

Hard to swallow? Reducing the number of stores obviously saves cost. They won’t have to pay associated rents or salaries. It would also tend to reduce demand which is what you’ve noted. However, lowering prices would tend to increase demand. Tesla appears to believe the effects offset.

You’re commenting to USians who aren’t aware that in many countries, there are no car dealerships at all in the US sense for any car brand, only exposition halls which demonstrate the models and allow test drives, and purchasing is done directly from the importer/manufacturer for a specific car you don’t physically see until delivery — there’s no inventory at all at the showroom.

The same goes for Sweden. I think the xp100dl is down about 50k usd!

Also the German Tesla page has price drops of up to 50,000 Euro (highest for the X100PL) – which before was approaching 150k Euros and is now down to 98k Euros just renamed “model-X-LR-PL” . So nothing to do with import tariff or taxation change.

I wouldn’t like to be a very recent P100D buyer.