BEIJING: Tesla Inc said today it has started selling China-made Model Y sport-utility vehicles (SUV) and will deliver them to customers this month, as the US electric vehicle maker expands sales in the world’s biggest car market.
China, which offers hefty subsidies for electric vehicles as it seeks to cut down on pollution from petrol or diesel cars, is key to Tesla’s global strategy.
It is expanding its Shanghai car factory, where it also builds its Model 3 sedans. In October, it started exporting Model 3 vehicles to Europe.
It is also adding manufacturing capacity for EV chargers in Shanghai and expanding its sales and service network around the country. It sold over 20,000 vehicles in November.
Tesla’s rivals in China include Volkswagen AG, BMW as well as local startups such as Nio Inc, Xpeng Inc, and Li Auto Inc, which all have electric SUV models.
The starting price of a Model Y in China is now 339,900 yuan (around RM210,000), according to its China website. The price is lower than some of its rivals as it sought to outflank them. Nio's electric SUV for example, retails for at least 368,000 yuan (RM227,000) or more.
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