TESLA drops China car prices due to tariffs.

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As reported by Reuters in late November, Tesla dropped the price of the Model X and Model S cars by 12 – 26 percent to help make the cars more affordable to customers in China. Back in June of this year, Tesla was one of the first carmakers to raise their prices in response to Tariffs.  The price increase came after a price decrease in May when Tesla lowered prices in China after Beijing said they would cut import tariffs for all auto imports.

The article also indicates Tesla is looking to speed up the construction of their Gigafactory in Shanghai. By producing cars in Shanghai, Tesla shields itself from any future import tariffs.

A few days ago, I wrote a blog post that China is also suspending the increase in tariffs on US cars, not sure if Tesla has raised the prices of their cars following the most recent December announcement.