- Tesla Inc (NASDAQ: TSLA) has reportedly raised the prices of the Model 3 and Model Y vehicles that it builds in Shanghai in order to address a gap between capacity and demand.
Tesla Inc (NASDAQ: TSLA) has reportedly raised the prices of the Model 3 and Model Y vehicles that it builds in Shanghai in order to address a gap between capacity and demand, according to the South China Morning Post. This announcement comes shortly before market regulators in China announced Tesla would be recalling 200,000 vehicles that were delivered to mainland customers between the years 2015 and 2020.
Yesterday, Tesla said that its entry-level Model 3 assembled at the Gigafactory 3 in the Lingang free-trade zone is going to be priced at 265,652 yuan (US$41,678) after subsidies, which is up 10,000 yuan (or 3.9%). And the basic edition of the Model Y SUV increased 21,088 yuan (or 7.5%) to 301,840 yuan.
The SUV no longer qualifies for government subsidies since the Chinese government only provides this for new-energy vehicles (NEVs) priced below 300,000 yuan. And the Chinese government will cut its subsidies on NEVs by 30% next year said the Finance Ministry via Reuters.
