Tesla will sell China-made Model 3 and Model Y models in Canada, confirming that the company has completed its first shipment from the Shanghai factory to North America.
The rear-wheel-drive Model Y and long-range all-wheel-drive Model 3 are currently available for immediate delivery in British Columbia, Canada, according to Tesla’s website.
▲ Picture source Tesla Canada official website
Cars made at Tesla’s Shanghai plant for export to overseas markets could help sell cars made at its California and Texas factories in the U.S., which would qualify for potential taxes of up to $7,500 under a U.S. government subsidy program discount. But Tesla faces increasing competition on price and features from Chinese electric carmakers, and its Berlin factory has been ramping up production of the Model Y for European customers.
Tesla’s production base in China has taken advantage of the company’s global cost advantage. The Chinese-made Model Y is priced at 61,990 Canadian dollars in Canada, which is about 22% higher than the cost of the same car before China introduced the preferential policy. However, because Canada does not tie electric vehicle subsidies to the location of vehicle production plants, Tesla is able to export China-made Model 3 and Model Y vehicles to Canada, and these models are also eligible for subsidies.
The code used by Tesla Motors when listing vehicles for sale corresponds to the first three digits of the vehicle identification number (VIN). LRW”, so it can be judged that the Model 3 and Model Y sold in Canada are manufactured by Tesla’s Shanghai factory. Sales of Tesla vehicles in Canada will help expand its market share in North America, while also providing a new market for Tesla vehicles made in China.
