Tesla’s popular Model Y SUV saw a decline in retail sales in China in July, marking the third consecutive month of year-on-year decline. According to data from the China Passenger Car Association (CPCA), the Model Y sold 30,766 units in July, down 15.24 percent year-on-year and 31.4 percent from June.
This decline comes after a brief period of growth in June when the SUV saw a 9.09 percent year-on-year increase. The Model Y has been a key model for Tesla in the Chinese market, where SUVs with larger interior spaces are preferred by consumers.
However, the performance of the Model Y in China has been weak this year, with retail sales declining in five of the first seven months. Even in the months where there was growth, such as March and June, the year-on-year increase was minimal at 0.57 percent and 9.09 percent, respectively.
Cumulatively, retail sales of the Model Y in China for the first seven months of the year totaled 202,257 units, down 17.15 percent year-on-year. Despite this decline, Tesla plans to launch the Model Y L in China in the fall, a six-seat SUV with a CLTC range of up to 751 kilometers, compared to the current five-seat model available in the market.
In July, Tesla exported 15,072 Model Y vehicles from China, a significant increase of 195.18 percent year-on-year and 135.32 percent month-on-month. The total exports of the Model Y from China in the first seven months of the year were 57,615 units, up 6.17 percent year-on-year.
Tesla’s Model 3 sedan also saw a decline in retail sales in China in July, with 9,851 units sold, down 0.78 percent year-on-year. This marked the third consecutive month of year-on-year decline and a 40.79 percent decrease from June.
In the first seven months of the year, the Model 3’s retail sales in China totaled 101,770 units, up 26.54 percent year-on-year. The sedan also saw an increase in exports from China in July, with 12,197 units exported, up 228.76 percent from June but down 46.47 percent year-on-year. Overall, the Model 3 exported 70,718 units from China in the first seven months of the year, down 42.00 percent year-on-year.
Despite the recent decline in retail sales, Tesla’s Model Y and Model 3 continue to be important models for the company in the Chinese market. With plans to introduce new variants and expand their product offerings, Tesla remains a key player in the electric vehicle market in China and beyond.
