On July 1st, Tesla updated the purchase discounts for the Model 3 and Model Y models on its official Chinese website. Customers who purchase the Model 3/Y model with standard or long range four-wheel drive before July 31st will be eligible for a five-year, zero interest installment payment plan.
It is worth noting that this is not the first time Tesla has launched a five-year zero interest car purchase discount this year. Unlike the "limited time financial replacement policy" in April, this promotion does not require the participation of old car replacements, expanding the audience of potential car buyers.
At present, the selling prices of Tesla Model 3 and Model Y have not changed, maintaining a range of 231900 to 335900 yuan and 249900 to 354900 yuan respectively.
In April, Tesla launched a price reduction promotion of 14000 yuan for all models of its Model 3/Y/S/X in China, demonstrating its flexibility in responding to market competition and changing demand.
Tesla faces challenges in the global market, especially in the Chinese market. The decline in sales, fluctuations in stock prices, and major personnel adjustments are all factors contributing to the current predicament. Some analysts pointed out that although Tesla still has a high brand influence and market share, in the increasingly competitive market environment of new energy vehicles, the challenges faced by Tesla cannot be underestimated.
Tesla's low to zero interest car purchase policy in the Chinese market is actually a disguised price reduction, but the effectiveness of this strategy is difficult to predict in the fierce price war, which may turn Tesla from a market leader to a follower of price competition.
With the strong rise of local brands and other international competitors, Tesla's competitive pressure in the Chinese market has significantly increased. At the same time, Huawei's cooperative models with local advantages and Xiaomi Motors have also made the latest moves.
Before Tesla announced its zero interest car purchase policy, Huawei Intelligent Automotive Solutions announced a limited time discount for the "Qiankun Intelligent Driving" advanced feature package, with a price discount of up to 6000 yuan. The new intelligent driving brand "Qiankun" launched by Huawei Intelligent Automotive Solutions in April 2024 has collaborated with multiple brands including Hongmeng Zhixing "Sijie", Shenlan, Avita, and others.
According to data from Dongfang Securities, Hongmeng Zhixing, supported by Huawei, delivered a total of 148100 vehicles between January and May this year, becoming the sales champion of new force brands in the Chinese market.
To further attract consumers to place orders, Xiaomi Motors also announced a series of car purchase discounts from July 1st to 31st, including a complimentary Nappa leather seat worth 8000 yuan and a lifetime free use of Xiaomi's intelligent driving function.
The latest data released by Xiaomi Motors shows that it has achieved its goal of delivering over 10000 vehicles in June and is expected to continue delivering over 10000 vehicles in July. Xiaomi's annual delivery target for this year is 100000 to 120000 vehicles.
According to a research report by Xinda Securities, as the price war in the automotive industry continues, market competition will further intensify in 2024, and independent and new force brands may benefit from their advantages in product, channel, and marketing.