Tesla Hikes Electric Car Prices In US, Holds Line In China
Tesla Hikes Electric Car Prices in US, Holds Line in China Tesla showed signs this week of divergent strategies in the world's two biggest automotive markets, raising prices to boost profit margins in the United States while keeping prices steady in China and hoping to grow sales there. Tesla raised prices for the most affordable versions of Model 3 and Model Y about a dozen times this year in the United States, according data tracked by Reuters. At the same time, Tesla recently introduced an affordable Model Y version in China, where it refrained from price cuts. But in China, the world's biggest electric vehicle (EV) market, Tesla faces fierce competition from local rivals and problems that include product recalls, high-profile protests by consumers and pressure from regulators. Bernstein analyst Toni Sacconaghi said introduction of the lower-priced Model Y in China "may make sustained margin improvement difficult" for Tesla and raises questions about "the health of Chinese demand." A study by Bernstein analysts found Tesla owners in China were less enthusiastic and had lower repurchase intentions than owners in the United States and Europe.
0 Comments