In this article we are talking about Tesla China which is replacing customers’ gas cars with EVs with heavy incentives.
As the world is going electric, more and more companies are joining the bandwagon. This means that the world is quickly trying to make the switch to this modern driving platform.
It was believed that Tesla is taking steps to push away customers for one reason or another.
Many experts believed that the company was attempting to do so in order to reduce its production backlog. They believe Tesla’s massive price increase is an effort in this regard.
However, Tesla’s recent move has dramatically altered the dynamics. The well-known EV manufacturer is now attempting to attract buyers through a scheme in which owners of gas cars are offered substantial incentives to switch to Tesla’s EVs.
Who Has Revealed This Information?
The first source to break this news was Shanghai Securities Journal. However, it was later revealed that the information has been revealed by an anonymous source.
This is not something new when it comes to Tesla as the company often discloses its information using this method. Thus we were not too surprised with this step.
Who Is Eligible For The Program?
A question that comes to our mind after this is which Tesla China vehicles are eligible for the trade-in program?
Well, all vehicles booked after 1st July 2022 and by the end of the current year will qualify for it.
However, all customers looking for availing this opportunity will be required to sign a trade-in agreement. It will be after this agreement that they will be eligible for the program.
What Incentives Is Tesla Offering?
If you want to know about the incentives that Tesla China is offering to the customers that trade in their vehicles, they include but are not limited to:
- 14-day price protection;
- 14-day extended warranty program;
- A free trial of Tesla’s Enhanced Autopilot for 90 days.
The process of evaluating the worth of the trade-in vehicle is unique. That’s because Tesla China staff will visit the premises of the applicant and then determine how much the car offered for trade-in is worth.
How Will This Affect The Delivery Times Of Tesla?
Tesla is already notorious when it comes to its slow deliveries. With the added number of customers due to this trade-in program, the overall time taken by the company for deliveries will increase further.
But how bad is the situation presently? To answer this, we first need to take a look at the present delivery times of various Tesla vehicles.
Model 3 vehicles are currently delivered in 12 to 20 weeks. The expensive variants of the Model 3 are now being delivered quickly because demand for these models is lower than for the base variants of the Model 3.
Tesla is currently taking around 12 to 24 weeks for the delivery of the Model Y vehicles. However, the base variant of this vehicle is being offered in around 10 weeks.
If the current trade-in program offered by Tesla can accept mainstream acceptance, then the deliveries of all Tesla vehicles will be further elongated.
That’s because, in such cases, the number of orders received by the company will escalate very quickly.