Shanghai — Tesla has debuted a significantly cheaper version of its locally built Model Y sports utility vehicle in China as deliveries for June slipped amid concern that a string of negative publicity may have soured consumer sentiment towards the pioneering electric carmaker.
This latest version, which is available in Hong Kong but hasn’t been sold in China before, can run for 525km, and because it is priced under 300,000 yuan is eligible for a particular state new-energy vehicle subsidy. Its price is only 10% higher than Tesla’s most basic China-made Model 3 sedan and deliveries will start as soon as August.
In 2021 alone, Tesla has battled everything from an angry driver protest that went viral at the Shanghai Auto Show in April to online criticism about its perceived arrogance and lack of customer service. The California-based company has also weathered upsets that have seen its cars banned from some military complexes over concern that the vehicles’ inbuilt cameras may be collecting sensitive data.
Sales of the longer-range Model Y, which starts from about 347,900 yuan, rose to 12,785 in May from 5,520 in April. Retail passenger vehicle deliveries overall in China declined 5.3% year-on-year in June. For the month, they were down 3.5%. New-energy vehicle retail sales, which includes plug-in hybrids, increased 170% year-on-year to 223,000 units in June, the PCA data show.
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