BYD followed suit by raising a few models' prices by CNY 3,000 to CNY 6,000 since March 16
Tesla China has raised the prices of its best-selling Model 3 and Model Y cars, information from its website showed on March 15.
According to its website, the company lifted the price of Model 3 Performance, Model Y Long Range and Model Y Performance versions by CNY 18,000 (USD 2,852.61), CNY 18,000 and CNY 20,000, respectively.
Following the price hike, these three models will retail for CNY 367,900, CNY 375,900 and CNY 417,900.
The latest price adjustment comes less than a week after the previous one. On March 10, Tesla China increased the prices of Model 3 Performance and Model Y Long Range and Performance versions by CNY 10,000 each.
Furthermore, the world's largest EV maker by market cap once jacked up the price of Model 3 and Model Y by CNY 10,000 and CNY 21,000, respectively, in response to China’s cuts to national EV purchase subsidy by 30% in 2022.
Tesla's price increase could sap consumer demand to some extent and ease delivery pressure as prices for core materials and chips continue to rise.
The EV leader sold 56,000 vehicles in February, marking the sixth consecutive month the company’s sales had topped 50,000, according to data released by the China Passenger Car Association.
During media interviews, the company's founder Elon Musk said that Tesla faced significant cost pressures and had to raise vehicle prices. He also expected Tesla to overcome the components shortage by 2023.
Coincidentally, Tesla today raised prices across its US product lineup after making similar moves in China. The Model X Plaid increased by USD 12,500, and the Model 3 standard model added USD 2,000 more in its sticker price.