The Tesla Model X is now much cheaper... in China
It's still way more than what us Yanks pay, but lower tariffs will help its case overseas.
If you want to buy a Tesla and you live in China, you'll have to fork out much more money than you would in the US. But now, it's a fair bit less than it used to be.
Tesla is shaving up to $14,000 off the price of a Model X in China, Automotive News reports, citing a conversation with a local Tesla sales representative. Buying a range-topping Model X P100D will now cost just 1.3 million yuan, or a hair over $200,000. That's still $60,000 more than we pay in the US, but it's better than it was before.
Tesla didn't slash the price because it was feeling generous. Instead, it's thanks to the Chinese government, which announced this week that it would cut import tariffs on vehicles from 25 percent to 15 percent. This is big news for any automaker who seeks to import vehicles to China, as the additional costs of import are generally passed right to the consumer.
It shouldn't have a huge effect on China's marketplace, where imported vehicles make up a small chunk of sales and are largely limited to already-expensive offerings. That said, it could force some local automakers to reduce their prices in order to remain as competitive as before.
The Chinese market is a very important one, and this news follows another story about The Middle Kingdom slowly opening itself up. In April, China announced that it will lift the ownership requirements for foreign automakers that seek to open up facilities in China. That, too, is big news, considering China has forced foreign OEMs into joint-venture partnerships with local automakers since 1994. That move was originally conceived to give China's fledgling domestic automakers some vital experience, and many automakers (e.g., BMW, Daimler, GM) have already established joint ventures.
Solar Installer Guides
Other Energy Saving Guides
Our Experts