Tesla launches new Model 3 in China with longer range
SHANGHAI (Reuters) -Tesla on Friday unveiled a restyled, made-in-China Model 3 with a longer driving range, the first time the automaker has launched a new model in China ahead of the United States.
The new model, which is being built at Tesla (NASDAQ:TSLA)'s Shanghai plant, comes with a starting price 12% higher than the previous, base model in China. It will also be exported to other markets in Asia, Europe and the Middle East.
At the same time, Tesla cut the prices for its premium Model S and Model X by between about 14% and 21%, in China and the U.S., its two biggest markets.
Raising the base price on the Model 3, Tesla's top-selling model after the Y, could help protect margins. But the price cuts for its higher-end models underscored the continued pressure EV makers face, especially in China where Tesla sparked a price war with Chinese rivals including industry leader BYD (SZ:002594) earlier this year.
The new Model 3 is Tesla's first change to its mass-market car line-up since it launched its global best-seller, the Model Y, in 2020.
Tesla did not announce a launch date for the new Model 3 in the U.S. market, where it currently offers discounts of more than $5,000 on some of those vehicles in inventory. The Model 3 is also assembled in Fremont, California.
CHINA-FIRST DEBUT
Tesla plans to debut the latest Model 3 at a trade fair in Beijing on Saturday and some of its new features, including a rear display for back-seat passengers, seemed aimed at Chinese car buyers.
Tesla said the car also has a better acoustic system, a more comfortable interior and additional airbags. Images of the exterior showed small changes that gave the sedan a sleeker front and new headlights.
The new Model 3 also promises a longer
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