Disgruntled crowds gather at Tesla car stores in many Chinese cities

According to Reuters news agency, in Shanghai on January 7, about 200 people who bought Tesla Model Y and Model 3 cars gathered at a Tesla delivery center to protest Tesla’s decision to cut prices. On January 6, the American electric vehicle manufacturer decided to cut prices for the second time in three months.

Videos shared on social media showed crowds also gathering at Tesla stores and delivery centers in other Chinese cities, from Chengdu to Shenzhen, showing the backlash of people consumption is widespread. Photos released on January 6 also showed many people gathered to protest Tesla.

Tesla owners argue that the sudden drop in prices after they’ve bought the car means they’ve been paying too much for the electric cars they’ve bought before.

Many people said they believed the prices Tesla charged for their cars late last year would not be cut as abruptly or as deeply as the electric-car maker just announced.

After the surprise price cut on January 6, the price of Tesla electric car models in China is now 13%-24% lower than the level in September 2022.

“Price reductions may be normal business behavior, but what Tesla does is not how a responsible business should behave,” protested Mr. Truong, Tesla owner at the center. Tesla’s delivery in Shanghai on January 7, said.

In a video that Reuters has verified was filmed at a Tesla car store in the city of Chengdu, the crowd chanted: “Give us our money back.”

Analysts say Tesla’s move could be made to boost the electric-car maker’s sales, which fell in December 2022, and support production at its Shanghai factory.

Tesla’s move will likely also force other electric vehicle makers to cut prices at a time when demand is faltering in the world’s largest electric vehicle market.

In an interview with Reuters on January 7, a Tesla spokesman in China said that the electric car company has no plans to compensate buyers who received goods before the latest price cut.

Source: CafeF