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On April 3rd, Tesla China announced the launch of a limited time and low interest replacement policy for the Model 3/Y model, and for the first time, introduced a "zero interest" installment purchase discount policy. If you purchase the latest Model 3/Y model directly within the month, you can enjoy up to 36 interest free periods; If you participate in the official exchange, you can enjoy up to 60 interest free periods.
Just two days before the launch of this discount promotion, Tesla China had just raised the selling price of the entire Model Y series by 5000 yuan against the trend.
Some industry insiders believe that Tesla's "turnaround" is mainly due to the increasing challenges it faces.
In the first quarter of this year, Tesla delivered a total of 386800 new cars, marking the first year-on-year decline in four years; Among them, the Model 3/Y model delivered a total of 369800 vehicles, which was lower than market expectations. Tesla stated that the decline in delivery was partly due to the climbing production capacity of the Model 3 facelift at the Fremont factory, the tense situation in the Red Sea affecting shipping, and the interruption of power supply at the Berlin factory due to human induced arson damage to high-voltage transmission towers.
Tesla's performance in China is also unsatisfactory. According to the latest data from the China Association of Automobile Manufacturers, Tesla's wholesale sales in March were 89064 vehicles, almost the same as the wholesale sales of 88900 vehicles in the same period last year.
By comparison, since the launch of the Han Tang Honor version with a starting price of less than 170000 yuan at the end of February and the slogan of "lower electricity than fuel", BYD's market attention has gradually increased. In March, BYD sold 302500 new cars, including 301600 passenger cars, a year-on-year increase of 46.4% and a month on month increase of 147.8%.
Within the month, major independent brands such as Changan, Geely, and Chery, as well as new force brands such as Wenjie and Ideal, also achieved a rebound in sales.
Passenger Association
With the continuous introduction of new brands and products in the Chinese market, Tesla's models are also on an increasingly crowded track. Xiaomi Motors, which has received the most attention recently, is a powerful competitor for the new entrant.
On March 28th, Xiaomi's first model, the Xiaomi SU7, finally announced its price. The new car is available in three versions: Standard, Pro, and Max, with prices of 215900, 245900, and 299900 yuan respectively.
At the press conference, Xiaomi Group Director Lei Jun repeatedly compared the Xiaomi SU7 with the Model 3. He stated that although Tesla has a higher level of maturity in intelligent driving, the Xiaomi SU7 also demonstrates significant advantages in terms of range, intelligent ecology, and sun protection capabilities.
Xiaomi's order volume also reflects its impressive market performance, with orders exceeding 10000 in 4 minutes, 20000 in 7 minutes, and a large quantity of 88898 vehicles within 24 hours of launch.
In response to the strong offensive of BYD and Xiaomi in recent months, starting from early April, multiple brands such as Jike, Wenjie, NIO, Geely, Wuling, Chery, Jiyue, and FAW Volkswagen have successively launched discount activities for their products, and a new round of "price war" has begun. Even Tesla, which had just adjusted the price of Model Y, had to make a compromise.
According to the analysis of the China Association of Automobile Manufacturers, the market advantage of leading new energy companies has continued to expand recently, and market differentiation has intensified. On the one hand, the warmer weather in April will bring benefits to the launch of heavyweight new cars such as the Spring Auto Show and Xiaomi SU7 in many places; On the other hand, due to factors such as Qingming Festival customs, busy farming, and holiday travel, the driving force for car purchase demand in April is insufficient, and dealers expect market demand to slightly decrease month on month.
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