Tesla Selling China Made Model 3 and Model Y in Canada
On its Canadian website, Tesla is apparently already selling Model 3 and Model Y EVs built in China to Canadian clients. The EV manufacturer now likely has to keep made-in-America models for the U.S. market to keep them eligible for subsidies there, when before Teslas sold here were produced in North America.
Notably, there are no made-in-Canada criteria regulating eligibility for the government EV incentive, in contrast to the United States. The $5,000 discount is valid for both the Model 3 and Model Y in Canada.
In November of last year, Reuters reported that Tesla was considering importing vehicles made in China to Canada rather than selling ones made in the United States. Elon Musk at the time refuted that. The source recently looked at the VINs (Vehicle Identification Numbers) of Tesla models that were being sold on the company’s Canadian website, and found that they were indeed produced at Tesla’s factory in Shanghai, China. Models built at Tesla’s Shanghai facility all have VINs that begin with the letters “LRW”.
The outlet also claims to have obtained a copy of a Tesla production schedule, which reveals that Model Y EVs were developed and tested in China with the intention of importing them into Canada. The strategy also includes a target of exporting 9,000 units in 2023’s first quarter.
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In 2021, Tesla sold 12,800 Model 3s. Tesla sold 6,150 Model 3s in 2020. In 2021, they sold 6,650 more units than they did in 2020, for a 108.13% YoY increase in sales.
Despite the choice by Tesla to supply China made models to Canadian consumers, prices went up!
Two of Tesla’s models, including the second-most cheap one on the market, have seen price increases in the Canadian market. The pricing of the Model 3 Standard Range Plus, the automaker’s top-selling vehicle in this country, has increased by $2,000 CAD since the beginning of October 2022. This model now has an MSRP of $54,995.
The Long-Range Dual Motor version of the Model Y compact SUV has also seen a price increase; it now lists for $74,990, or $5,000 more than before.
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Will the quality be the same as US made, we shall see. It is what it is.