Tesla starts offering 5-year, 0-interest financing incentive for updated Model Y in China

Tesla began offering a five-year, zero-interest financing incentive in China for the updated Model Y, in a ramped-up promotion to try to boost the crossover's appeal. Tesla previously offered a three-year, zero-interest financing incentive on the updated Model Y. (Image credit: Tesla) Tesla (NASDAQ: TSLA) has begun offering a five-year, zero-interest financing incentive in China for the updated Model Y, in a stepped-up promotion to try to boost the crossover's appeal. Chinese customers who buy any variant of the Model Y before June 30 can take advantage of the five-year, zero-interest financing, the US electric vehicle (EV) maker announced today on Weibo. Under the program, the down payment is as low as RMB 79,900 with monthly payments as low as RMB 3,060. Tesla launched the facelifted five-seat Model Y in China on January 10, with deliveries beginning on February 26. The model is available in China in a rear-wheel-drive version, as well as a long-range all-wheel-drive version, which currently start at RMB 263,500 and RMB 313,500, respectively. Tesla began offering a three-year, zero-interest financing incentive for the Model Y rear-wheel-drive version in China on March 18, and raised the price of the Model Y long-range version to RMB 313,500 from RMB 303,500 previously on the same day. On March 31, Tesla made three-year, zero-interest financing available in China for the long-range all-wheel drive variant of the facelifted Model Y. Tesla's bigger promotion for the updated Model Y comes at a time when competition in China's EV market is getting tougher, with more competitors for the model. The company's five-year, zero interest financing incentive for the Model 3 electric sedan continues to be available through June 30. Additionally, Tesla has renewed the RMB 8,000 insurance subsidy for all variants of the Model 3. The insurance subsidy was initially valid until February 28, and Tesla announced on March 18 that it would extend that validity until April 30. Delivery wait times for both locally produced Tesla models in China are unchanged today, with one to three weeks for the entire Model 3 lineup, two to four weeks for the entry-level version of the Model Y, and three to five weeks for the longer-range version of the Model Y. The Model 3 currently has three variants in China, including a rear-wheel-drive version, a long-range version, and a performance version, with starting prices of RMB 235,500, RMB 275,500, and RMB 339,500, respectively. Tesla is also additionally offering a new Star Diamond Black paint option for the Model 3 and Model Y in China today, both priced at RMB 8,000. Tesla China sold 78,828 vehicles in March, including 4,701 for export, data compiled by CnEVPost showed. The company sold 74,127 vehicles in China's domestic market in March, up 18.80 percent year-on-year and up 176.83 percent from February. The Model Y delivered 48,189 vehicles in China in March, up 0.57 percent year-on-year and up 501.91 percent from February. ($1 = RMB 7.2924) Tesla stops taking orders for Model S, Model X in China amid trade war Tesla has stopped taking orders for Model S and Model X in China, likely due in part to a worsening trade war that has hit both imported models.