Grab Subsidies: Tesla Model 3 Prices in China Reduced by 8-10%

Price Reduction Under China's Subsidy Policy for Vehicles Below 300,000 Yuan
China's Electric Vehicle Market Leader... 11,811 Units Sold in August, Up 7.2% from Previous Month

[Asia Economy Beijing=Special Correspondent Jo Young-shin] American electric vehicle company Tesla has reduced the sales price of the China-made 'Model 3'.

Chinese economic media Caixin (財新) reported on the 2nd that considering China's electric vehicle subsidies, the sales price (entry price) of the Model 3 produced in Shanghai, China, has been set at 249,900 yuan (approximately 42.8 million KRW).

The specification capable of driving 468 km on a single charge is priced at 271,550 yuan, down 8%, and the specification capable of driving 668 km is priced at 309,900 yuan, down 10%, Caixin explained.

American electric vehicle company Tesla has reduced the price of the Model 3 produced in Shanghai, China. The photo shows the Tesla exhibition hall at the 2020 Beijing Motor Show. The exhibition hall was so popular with visitors that they had to line up to enter.

Caixin analyzed that this price reduction is the third this year and was made to compete with Chinese electric vehicle companies such as BYD.

The Chinese government extended the subsidy period by two years in April for locally produced new energy vehicles priced under 300,000 yuan.

Additionally, local governments in Shenzhen, Shanghai, Tianjin, Guangdong Province, and others have consecutively introduced subsidy support policies such as tax reductions and infrastructure expansion.

Caixin stated, "In August, Tesla sold 11,811 electric vehicles, a 7.2% increase from the previous month, making it the top-selling company in China," and explained that Tesla reduced prices in accordance with subsidy policies.

It also reported that Tesla CEO Elon Musk announced that "the Shanghai factory can produce 1 million electric vehicles annually." Along with this, it added that Tesla is developing an electric vehicle smaller and cheaper than the Model 3 at the Shanghai factory.

This content was produced with the assistance of AI translation services.