The 7-seater option for the Tesla Model Y now comes with a price adjustment, seeing an increase of $500.

Tesla has adjusted the pricing for its Model Y's 7-seater option, now increased by $500 to a total of $3,000, compared to the previous cost of $2,500. As 2024 begins, Tesla has initiated price modifications, with the U.S. seeing no changes in the actual car prices. However, a different narrative unfolds in China.

In China, Tesla has implemented price reductions for Giga Shanghai's Model 3 sedan and Model Y crossover. The Model 3 Rear Wheel Drive (RWD) and Dual-Motor All Wheel Drive (AWD) variants witnessed decreases of 3.87% and 5.93%, respectively. Presently, the Model 3 Highland RWD starts at RMB 245,900, while the Dual-Motor AWD is priced at RMB 285,900 before options.

The Model Y RWD's price has been reduced from RMB 266,400 to RMB 306,400, and the Model Y Long Range Dual-Motor AWD saw a decrease from RMB 258,900 to RMB 299,900.

Tesla's competitive pricing has solidified its position in China's electric vehicle industry, with BYD being its main competitor. The price adjustments by Tesla in China have triggered a price war among local EV manufacturers. Interestingly, Chinese automakers seem to adopt a similar strategy to Tesla in Europe, offering their EVs at compellingly low prices, challenging European car manufacturers.

At present, the Tesla Model 3 Highland RWD is available starting at RMB 245,900, and the Dual-Motor AWD is priced at RMB 285,900 before additional options. Simultaneously, the Model Y RWD has experienced a reduction in price from RMB 266,400 to RMB 306,400, and the Model Y Long Range Dual-Motor AWD's cost has been lowered from RMB 258,900 to RMB 299,900.

Tesla remains a strong player in China's electric vehicle industry, securing its position through competitive pricing. The primary contender for the U.S. automaker in China is BYD. Tesla's strategic price adjustments have triggered a competitive environment, sparking a price war with other local electric vehicle manufacturers. Intriguingly, Chinese automakers have adopted a similar approach to Tesla in Europe, aggressively pricing their EVs, thereby challenging European car manufacture.

------The article excerpted from TESLARATI.