China-built Model 3 accounts for 73% of Tesla models’ China insurance registration in Jan.

Shanghai (Gasgoo)- In January, a total of 3,563 consumers in China bought the Mandatory Liability Insurance for Traffic Accidents of Motor Vehicle (MLI) for Tesla-branded vehicles, according to the China Insurance Regulatory Commission.

The China-built Model 3 accounted for 73% of the total volume with 2,605 units registered, versus 578 units for the imported one.

On December 30, 2019, Tesla handed over 15 China-built Model 3s to employees, while the scale delivery formally kicked off a week later. Excluding the Spring Festival holiday, there were only 17 days available for the car hand-over. 

The first round of price cut for China consumers came before the delivery started. Guide price of a homegrown Model 3 Standard Range-Plus would be reduced by RMB32,000 to RMB323,800, Tesla announced on Jan. 4 via its WeChat account. It means that a buyer would get a Tesla Model 3 car with only RMB299,050 since the long-waited model also enjoys China's governmental NEV subsidy of RMB24,750.

Additionally, the homegrown Model 3 BEVs have been exempted from the vehicle purchase tax on NEVs, according to a filing released by China's Ministry of Industry and Information Technology (MIIT) on December 27, 2019.

Tesla's Shanghai plant has resumed production on Feb. 10. Due to the spread of novel coronavirus, Tesla would slow down its new car delivery in China which was supposed to be handled after the Lunar New Year holiday, according to Tesla global vice president Grace Tao, who replied to a Weibo follower on February 4.

Ms. Tao said Tesla would strive to speed up the delivery after the epidemic infection is mitigated, in a bid to offset the virus-caused slowdown. Thus, it was hampering out relevant plans.

With respect to imported models, the best-seller was still the Model 3. The insurance volume of the imported Model S and Model X amounted to only 13 units and 367 units, lowered than the average monthly level for 2019. 

Besides, the project of China-made Model Y was launched on the same day as the homegrown Model 3’s scale delivery. The all-electric SUV is getting closer to the reach of Chinese consumers.