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Tesla tries to quash rumor of low demand in China

by News Desk
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Tesla is trying to quell rumors of low demand in China with new discounts offered by automakers. Tesla China has said it won’t be cutting prices further this year.

Over the past few months, Tesla has used several “demand levers” to boost demand in China.

We learned last month that Tesla We lowered the price of Model 3 and Model Y in China and launched a new referral program.It’s the first time in two years that Tesla has cut the price of an electric car.

After that, automakers Launched new cash rebates with insurance partners in China.

Initially, local Chinese media reported that these strategies to boost demand had paid off, with Tesla’s Chinese website crashing with people contemplating the configuration of the car.

However, some media reports from China now claim that the incentive did not actually have the expected impact.

Sina Technology News The demand lever reportedly delivered only about half of the expected order volume.

Tesla is reported to have launched two big price cuts and promotions in the past month. However, the two promotions did not receive the expected effect from Tesla. After announcing the price cut, Tesla China’s official website was “paralyzed” by an influx of traffic, but Auto Fans founder Sun Shaojun said Tesla received about 50,000 orders in the round. It wasn’t too much. Not 100,000 to 170,000 as rumored in the outside world.

In another report from Koshuit was rumored that Tesla was planning to cut prices in China even further (translated from Chinese):

After two rounds of promotions, Tesla’s order growth is still below expectations and it plans to launch a new “price cut method” to boost sales before the end of the year.

However, Tesla China has since denied the rumors, indicating that there will be no further price cuts this year, ending in 40 or 60 days depending on which calendar you are referring to. .

Unlike in the United States, Tesla still has a press relations department in China and is in contact with the media, sometimes denying such reports.

Tesla has ruled out further price cuts this year, but it could cut prices again next year in China, where EV incentive rules are expected to change in 2023.

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