Tesla launched a limited-time promotion for the Model 3 in China on Saturday, adding an 8,000 yuan ($1,150) insurance subsidy as competition intensifies with rivals matching the Elon Musk-led company’s low interest incentive.
The offer, valid from January 24 through February 28, applies to the rear-wheel drive, long-range rear-wheel drive, and long-range all-wheel drive variants.
Under the seven-year low-interest financing plan first introduced by Tesla on January 6, buyers can put down as little as 79,900 yuan with monthly payments starting at 1,759 yuan after government interest subsidies.
Customers can save up to 33,479 yuan by purchasing the Model 3 or Model Y under the promotion.
Model 3 Pricing
The Model 3 is available in four variants.
The rear-wheel drive starts from 235,500 yuan, while the long-range rear-wheel drive begins at 259,500 yuan with 830 km of CLTC range.
The long-range all-wheel drive is priced from 285,500 yuan, and the high-performance all-wheel drive starts at 339,500 yuan with 3.1-second 0-100 km/h acceleration.
Additional incentives include an 8,000 yuan paint credit for customers referred by existing Tesla owners, three charging benefit options, and limited-time transfer of the China version of the Full Self Driving (FSD) software.
Model Y and Model Y L
The seven-year low-interest financing extends to the Model Y — which led Chinese 2025 sales across all powertrains — and the Model Y L for orders placed before February 28.
The Model Y requires a minimum down payment of 79,900 yuan with monthly payments starting at 2,188 yuan, while the China-exclusive three-row Model Y L starts at 99,900 yuan down with payments from 2,849 yuan monthly.
A five-year zero-interest option is also available.
Last year, Tesla‘s retail sales in the country fell 4.78% to 625,698 units.
The Model 3 registered 312,738 units in 2025 across domestic sales and exports, down 13.1% year-over-year.
Chinese Brands Match Tesla
Since Tesla introduced the seven-year financing on January 6, at least five Chinese brands have matched the promotion: Xiaomi, Li Auto, Dongfeng’s brand Yipai, Geely‘s Galaxy, and XPeng.
Xiaomi‘s offer, implemented on January 15 and valid until February 28, allows consumers to acquire its YU7 SUV — rival of Tesla‘s Model Y — with a down payment starting from 49,900 yuan and minimum monthly installments of 2,593 yuan ($372).
The company also launched a three-year interest-free policy with a down payment starting from 74,900 yuan and monthly payments as low as 4,961 yuan ($711).
Li Auto began offering seven-year financing on Tuesday for its entire lineup, including the L-series extended-range SUVs, the fully electric i6 and i8 SUVs, and the Mega MPV.
The Mega and i8 are also eligible for interest-free terms for the first three years with minimum monthly payments of 2,857 yuan.
Chinese tech portal 36kr reported that in the first twelve hours of Li Auto‘s promotion announcement, official website traffic jumped 320% and in-store consultation volume rose 245% compared to the previous period.
XPeng introduced its seven-year low-interest financing also last week for its fully electric and hybrid lineup.
Until the end of January, consumers can purchase any model with a minimum 15% down payment, resulting in monthly installments starting at 1,355 yuan.
Dongfeng’s Yipai offered a similar incentive for its 007 series with a down payment of 42,000 yuan and monthly payments of 1,272 yuan.
Geely‘s Galaxy brand offer covers only the M9 model with a down payment of 25,800 yuan.
