The expected delivery date for the revamped Model 3 in China is the fourth quarter, and the higher starting price may come as a slight relief to Tesla's Chinese rivals.
Tesla (NASDAQ: TSLA) unexpectedly started pre-sales of its revamped Model 3 in China today, with a higher starting price that may come as a relief to local rivals.
Tesla's Chinese website updated its Model 3 page this morning to show off the new sedan with a new exterior and interior design. The model is supposed to be the one that was widely rumored to have the internal codename of Highland.
In a subsequent post, Tesla's Weibo account said that the new Model 3 officially went on pre-sale today, with prices starting at RMB 259,900 yuan ($35,850).
For comparison, the previously available Model 3 in China had a starting price of RMB 231,900. This means that the new Model 3's pre-sale starting price in China is RMB 28,000, or 12 percent, higher than the old model.
It's worth noting that in China, when many electric vehicle (EV) companies launch a new model, they usually start with a pre-sale and offer slightly lower final prices when it goes on sale. It's not clear if Tesla will adopt this strategy.
The new Model 3 has a sporty look, a longer range of up to 713 kilometers, and gets an upgraded suspension system, according to Tesla's Weibo.
The new sedan offers rear passengers a screen not found on the old model, in addition to the center screen in the front, Tesla said.
The revamped Model 3 is still offered in two versions, but the previously offered performance version has been canceled and replaced by a dual-motor, long-range version, according to information on Tesla's Chinese website.
Tesla's Shanghai factory began operations at the end of 2019 and started deliveries of the locally produced Model 3 in January 2020 and the locally produced Model Y in January 2021.
Tesla was offering the Model 3 in 2020 in three versions -- an entry-level version with single-motor rear-wheel drive, a long-range version with single-motor rear-wheel drive, and a performance version with dual-motor all-wheel drive.
Today's update means that Tesla is starting to offer the long-range version of the Model 3 again in China, but with dual motors.
Pre-sale prices for the entry rear-wheel-drive Model 3 in China start at RMB 259,900, up from RMB 231,900 for the old version.
The dual-motor, all-wheel-drive, long-range version of the Model 3 has a pre-sale starting price of RMB 295,900. For comparison, the previously on-sale dual-motor, all-wheel-drive performance version of the Model 3 started at RMB 331,900.
The expected delivery dates for both versions of the new Model 3 are the fourth quarter, information on Tesla's website shows.
The new Model 3 entry-level version has a CLTC range of 606 kilometers, up 50 kilometers, or 9 percent, from the old model's 556 kilometers.
The new Model 3's long-range version has a CLTC range of 713 kilometers, up from 675 kilometers for the previous Model 3 Performance.
Notably, the text on Tesla's Chinese website cautions that these ranges are only estimates, pending regulatory approval.
A new vehicle needs to be included in the Chinese Ministry of Industry and Information Technology's model catalogs before it can officially start selling in China.
Tesla's revamped Model 3 has yet to complete that regulatory process, which is expected to be done this month if it's going to start deliveries in the fourth quarter.
The new Model 3 entry-level version is capable of sprinting from 0 to 100 kilometers per hour in 6.1 seconds, with a top speed of 200 kilometers per hour. As a comparison, the figures for the old Model 3 entry version were 6.1 seconds and 225 km/h, respectively.
The longer-range version of the new Model 3 is capable of sprinting from 0 to 100 km/h in 4.4 seconds, with a top speed of 200 kilometers per hour. The previous Model 3 Performance's figures were 3.3 seconds and 261 km/h, respectively.
Tesla released the Model 3 in 2017 and the latest update is its first in six years.
Since Tesla began delivering the locally produced Model 3 in China in January 2020, a slew of competitors -- including the Nio (NYSE: NIO) ET5, BYD (OTCMKTS: BYDDY) Seal, and the Deepal SL03 -- have taken away the sedan's initial appeal.
In the January-July period of this year, the Model 3 delivered 97,964 vehicles in China, up 51.34 percent year-on-year, according to data from the China Passenger Car Association (CPCA) monitored by CnEVPost. The model delivered 7,791 units in China in July, down 65.74 percent from 22,741 in June.
Despite the lower appeal of the Tesla Model 3, its pricing is still seen as important for players in China's EV industry.
Lower prices could hit sales of rival models, and the higher starting price Tesla is offering in pre-sales could be good news for its Chinese counterparts.
Here are the key specs of the new Model 3 and the old Model 3:
Core specs of new Model 3
| Starting Price | 0-100 km/h (s) | CLTC Rang (km) | Top Speed (km/h) | |
|---|---|---|---|---|
| Model 3 (New) | 259,900 | 6.1 | 606 | 200 |
| Model 3 Long Rang (New) | 295,900 | 4.4 | 713 | 200 |
Core specs of old Model 3
| Starting Price | 0-100 km/h (s) | CLTC Rang (km) | Top Speed (km/h) | |
|---|---|---|---|---|
| Model 3 (Old) | 231,900 | 6.1 | 556 | 225 |
| Model 3 Performance (Old) | 331,900 | 3.3 | 675 | 261 |
($1 = RMB 7.2487)
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