Tesla has pushed back against a wave of recent rumours suggesting it was preparing to introduce a significantly cheaper version of the Model 3 in China, clarifying that no such plans are currently in place.
According to statements attributed to the company, Tesla says it has no intention of launching a lower-cost Model 3 variant in China, nor has it built a dedicated production line for such a vehicle at Gigafactory Shanghai. The factory remains focused on producing and delivering existing Model 3 and Model Y vehicles for both domestic sales and export markets, according to Tesla, as reported by local media outlet Caiwen. (via CNEvPost)
The denial comes after several days of intense rumors circulating across Chinese and international social media, claiming Tesla was on the verge of releasing a stripped-down Model 3 priced below RMB 200,000 (C$40,100/US$28,900). Such a move would have significantly lowered the entry point into Tesla ownership in China and positioned the automaker more competitively against a growing number of domestic EV rivals in the same price bracket.
Fueling the speculation were earlier reports pointing to a potential new variant listed in China’s Ministry of Industry and Information Technology (MIIT) catalog. The vehicle, described as a “Model 3 Standard Range” version, was said to feature a smaller 52.9 kWh battery pack and a reduced range of around 480 km (298 miles) under CLTC testing—down notably from the 634 kilometers offered by the current entry-level Rear-Wheel Drive (RWD) model.
To achieve the lower price point, the rumored version was expected to remove roughly 20 features, including ventilated seats, ambient lighting, premium audio elements, and other non-essential upgrades. Similar strategies have already been deployed by Tesla in other markets.
Despite those precedents, Tesla’s latest comments suggest that—at least for now—China will not receive a comparable budget version. The company emphasized that Gigafactory Shanghai is fully committed to meeting demand for its current lineup, which includes multiple Model 3 trims starting at RMB 235,500 (C$47,200/US$34,000).
