Tesla has launched a new incentives program in China to entice consumers to trade in their old vehicles for new ones. Tesla car owners in China who select the offer will get half-off the Full Self Driving function, 15,000km (9,320.57 miles) of Supercharging credits, and a home charger installation discount of around $1,184 from now until September 30th.
Last month, Tesla enthusiast Ray4Tesla announced the “Ownership Loyalty Program,” which puts the Full Self Driving package on offer at CNY32,000 (or approximately $4,741 USD) for vehicles that already have the Enhanced Autopilot package. Given that FSD is currently $12,000 in the US, it may seem to be a good bargain to buy it for less than half the price, but keep in mind that the usual price for the then-largely inactive feature was $5,000 in 2019. The latest FSD beta in the US can autosteer in cities, which is not accessible in the Chinese market.
Supercharger credits, which allow Tesla Roadtrippers to travel for free throughout the company’s massive fast-charging network, were acquired via a long-running car referral scheme that was canceled, then resurrected, and then canceled again. The program offered bigger rewards for numerous referrals, such as limited edition Elon Musk “signature” home chargers, special 20-inch “Zero-G” sport wheels, and even free vehicle drawings.
The reward scheme seems to be aimed at increasing loyalty among Tesla owners in China. Tesla has been battling with a parts scarcity in China, and its Shanghai facility has been forced to shut many times owing to the country’s tight Covid regulations.
While Tesla leads electric vehicle sales in the United States, China is a different story, with greater competition from Chinese EV manufacturers, who have access to more materials and resources to manufacture essential components such as batteries. Because many battery components are made in China, US automakers may lose out on impending incentives, albeit Tesla has an advantage here because the bulk of its parts is made in North America.