Tesla has been working hard to get its Chinese Model Y production up and running in the massive Gigafactory complex outside of Shanghai, and now, according to a Reuters report on Thursday, that hard work has paid off.
The Big T started sales of the Chinese-made Model Y at a starting price of 339,900 yuan (or $ 52,091.95 at current exchange rates), just $ 2,191 more than our version of the Model Y Long Range. .
Tesla’s pricing strategy for the Model Y in the world’s largest car market is simple: undermine others. That’s why the Model Y will be slightly cheaper than Nio’s offerings, for example, which sell for the equivalent of $ 56,329.
Interestingly, while Tesla’s Model 3 benefits from China’s electric vehicle subsidy, the Model Y is ineligible due to its price. It’s also not entirely clear whether there are plans to equip the Model Y with the cheaper lithium-iron-phosphate battery cells of the base Model 3, which in theory would bring the price down. .
Since Tesla doesn’t have a PR department, I tweeted Elon Musk about it, but I didn’t hold my breath for a response.