Tesla Gets Ready to Reveal Prices of Model 3 in China
Tesla plans to make an announcement about its China-made Model 3 cars on May 31.
(Bloomberg) -- Tesla Inc. is getting close to revealing new prices for the Model 3 in China as it nears local manufacturing of the car.
The Palo Alto, California-based carmaker plans to make an announcement about its China-made Model 3 cars on May 31, Tesla said in a social media posting, inviting people to guess the price of the domestic Model 3 before it's officially announced.
The company is considering pricing the vehicle between 300,000 yuan ($43,400) and 350,000 yuan before subsidies, according to people familiar with the matter, who asked not to be identified discussing a private matter. The final number is still being finalized, one person said. A Tesla representative declined to comment on specifics of the May 31 announcement.
Though it already sells Model 3 vehicles in China, Tesla currently ships all of them from the U.S., disqualifying the vehicles from Chinese government subsidies and subjecting the cars to import tariffs. They now start at 377,000 yuan, including import duties and value-added taxes, according to its website.
Tesla is counting on its Shanghai factory, which is scheduled to begin production this year, to bolster the company's competitiveness in a country that's already crowded with hundreds of electric-vehicle makers. Local production in China, the world's biggest car market, would allow Tesla to avoid import tariffs and speed up deliveries.
To contact Bloomberg News staff for this story: Yan Zhang in Beijing at yzhang1044@bloomberg.net;Haze Fan in Beijing at hfan40@bloomberg.net
To contact the editors responsible for this story: Young-Sam Cho at ycho2@bloomberg.net, Ville Heiskanen
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With assistance from Bloomberg