Electric vehicle maker Tesla to deliver China-made Model Y SUVs this month

Tesla Inc said on Friday it has started selling China-made Model Y sport-utility vehicles (SUV) and will deliver them to customers this month, as the U.S. electric vehicle maker expands sales in the world`s biggest car market.

China, which offers hefty subsidies for electric vehicles as it seeks to cut down on pollution from petrol or diesel cars, is key to Tesla`s global strategy. It is expanding its Shanghai car factory, where it also builds its Model 3 sedans. In October, it started exporting Model 3 vehicles to Europe.

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It is also adding manufacturing capacity for EV chargers in Shanghai and expanding its sales and service network around the country. It sold over 20,000 vehicles in November.

The starting price of a Tesla Model Y in China is now 339,900 yuan ($52,091.95), according to its China website.

Tesla`s rivals in China include Volkswagen AG, BMW as well as local startups such as Nio Inc, Xpeng Inc, and Li Auto Inc, which all have electric SUV models. ($1=6.5250 Chinese yuan renminbi)
 

The story has been taken from a news agency