Tesla is offering discounts of RMB 35,000 to RMB 45,000 in China for the full lineup of Model S and Model X, which saw deliveries in the country begin at the end of March.
(Image from Tesla Weibo)
Tesla (NASDAQ: TSLA) is offering big discounts in China for its two higher-priced models that aren't made locally, likely in part because sales of those vehicles being imported to China are performing below expectations.
The US electric vehicle (EV) maker today announced what it calls an inventory car purchase incentive for the Model S and Model X on Weibo, with discounts of up to 45,000 yuan ($6,200), even though the prices for both models remain unchanged on Tesla's website.
Prices start at RMB 773,900 for the dual-motor all-wheel drive Model S and RMB 988,900 for the tri-motor all-wheel drive Model S Plaid, as per Tesla's published discounted prices.
Compared to the prices displayed on the Tesla China website of RMB 808,900 and RMB 1,028,900, these two versions of the Model S offer discounts of RMB 35,000 and RMB 40,000 respectively.
The discounted prices start at RMB 863,900 for the Model X dual motor AWD version and RMB 1,013,900 for the Model X Plaid tri-motor AWD version.
This is RMB 35,000 and RMB 45,000 lower than the RMB 898,900 and RMB 1,058,900, respectively, displayed on Tesla's China website.
In addition to these cash offers, Tesla is also encouraging owners to refer friends to purchase the two models.
If a customer purchases the Model S and Model X on the recommendation of someone else, they will receive an additional RMB 7,000 bonus, free Supercharging benefits for 3 or 6 years, and 90 days of free Enhanced Autopilot (EAP) access. The referrer will then receive 48,000 bonus points that can be redeemed for Supercharging miles.
On January 6, Tesla announced the prices of the Model S and Model X in China at the same time as it significantly reduced the prices of the locally produced Model 3 and Model Y.
At that time, the starting price of Model S was RMB 789,900 and Model S Plaid was RMB 1,009,900. Model X started at RMB 879,900 and Model X Plaid was 1,039,900.
On February 28, six new Tesla Model S and Model X entered Chinese customs, the first time these two models were imported into China. In mid-March, a new batch of 867 new Tesla Model S and Model X vehicles were imported into China.
On March 27, Tesla announced that deliveries of the new Model S and Model X in China officially began.
On May 5, the prices of the full line of both the new Model S and Model X models in China were raised by RMB 19,000. Since then, the prices of both models in China have remained unchanged.
Tesla has a factory in Shanghai that produces the Model 3 and Model Y. The factory delivered 77,695 vehicles in May, including 42,508 in China and 35,187 for export, according to the China Passenger Car Association (CPCA).
The Model Y sold 31,054 units at retail in China in May and was the best-selling SUV for the month, according to a ranking by the CPCA.
($1 = 7.2523 RMB)