Connect with us

Hi, what are you looking for?

Tesla is cutting prices in China on its Model X and Model S in anticipation of the Chinese tariff dropping to 15% on January 1.


Tesla Cuts Prices In China

Tesla is cutting prices in China on its Model X and Model S in anticipation of the Chinese tariff dropping to 15% on January 1.

Tesla announced on December 16 it is reducing prices on the Model S and Model X in China in response to  China’s decision to roll back its 40% tariff on cars imported from the United States to the 15% level that was in effect previously. According to CNBC, the decision by Chinese authorities is temporary. The new rate will be in effect from January 1 until March 31. After that, we’ll see.

The two nations agreed at the G20 conference in Argentina earlier this month to put a halt to their tariff war for 90 days while they try to come to a long-term agreement on trade policies. It is still not clear what, if anything, the leaders of the two countries agreed to while in Argentina, other than a plan to keep talking.

The CNBC report says, “China accounted for 17.2 percent of Tesla’s total revenues in 2017, but only 6 percent in the third quarter due to the impact of the tariffs, [according to] CFRA analyst Garrett Nelson.” Tesla is pushing hard to get its new factory in Shanghai up and running as soon as possible to avoid tariff hassles with the Model 3 and the upcoming Model Y crossover.

As far as we know, the Model S and Model X cars will continue to be built exclusively at the Fremont factory in California, which means they will continue to be pawns in the tariff game. Elon Musk tweeted earlier this year that tariffs make sales in China like “competing in an Olympic race wearing lead shoes.”

I don't like paywalls. You don't like paywalls. Who likes paywalls? Here at CleanTechnica, we implemented a limited paywall for a while, but it always felt wrong — and it was always tough to decide what we should put behind there. In theory, your most exclusive and best content goes behind a paywall. But then fewer people read it! We just don't like paywalls, and so we've decided to ditch ours. Unfortunately, the media business is still a tough, cut-throat business with tiny margins. It's a never-ending Olympic challenge to stay above water or even perhaps — gasp — grow. So ...
If you like what we do and want to support us, please chip in a bit monthly via PayPal or Patreon to help our team do what we do! Thank you!
Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Written By

Steve writes about the interface between technology and sustainability from his home in Florida or anywhere else The Force may lead him. He is proud to be "woke" and doesn't really give a damn why the glass broke. He believes passionately in what Socrates said 3000 years ago: "The secret to change is to focus all of your energy not on fighting the old but on building the new."


You May Also Like


When it comes to charging, many owners charge their Teslas at home. But when you’re out on a road trip or you simply need...


Tesla has become nearly debt-free in just two decades, a feat that’s unheard of in the auto industry’s more-than-century-old history. How the electric vehicle...

Clean Transport

One of the big “gotchas” the anti-EV crowd tries to throw at EVs is that they’d fail you in a hurricane evacuation. I’ve covered...


Kia and Ford are bringing new midsize electric SUVs to market --- one for China and one for Europe -- but none for the...

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.