Perhaps other companies will follow Tesla
Tesla has increased the price of the Model Y Long Range AWD in China by $280. This is the third price increase in a row in less than two weeks – since November 9, when Tesla raised the price of the Model Y LR by $350.
Tesla sales staff told local media that the increase is a “price correction” following a price cut in August. Moreover, production costs are rising and price increases may continue in the future.
Tesla sets trends.
Tesla began slowly raising prices on October 27, when the top-spec Model Y AWD Performance went up $2,000. This was followed by a price correction on November 9, when the price of the Model Y AWD Long Range increased by $350. A week later, on November 14, the entry-level Model Y RWD also increased in price by $350.
The price of the updated 2024 Model 3 (Highland) Long Range was increased by $210 on November 9, and the following week, on November 14, the rear-wheel drive version also increased in price.
This comes after months of a price war in the Chinese electric vehicle segment, which began in November 2022 when Tesla cut prices on its lineup by 11%, and continued in January when the US automaker cut prices on some models by 13%, effectively kick-starting the effect domino, as many local competitors had to follow suit.
