Price drop sees Tesla Model 3 China sales soar

China-made Tesla Model 3 orders are reported to exceed 1000 daily after the company dropped the price of its entry-level Standard Range Plus version to below the 300,000 yuan level needed to get New Energy Vehicle (NEV) subsidies.

The new orders are well beyond the present manufacturing capabilities of the Tesla Gigafactory 3 in Shanghai (set for 3000 a week, increasing to 4000).

The China-made Standard Range Plus RWD model is now 271,550 yuan (US$38,221) and the Long Range RWD 344,050 yuan (US$48,425) with deliveries from June 2020, InsideEVs

reports.

The Performance Long Range AWD is 419,800 yuan (US$59,087), with deliveries from early 2021, so is ineligible for subsidies.

The NEV subsidies and lower price are estimated to see savings exceed 10%, although China’s new subsidy rules could impact on higher priced EVs and luxury brands.