Tesla Motors Inc (NASDAQ:TSLA) seeks to capture the biggest vehicle market by offering Chinese buyers an opportunity to trade their old vehicles if they buy the latest Model S sedan.
According to an article published on Bloomberg news today, Tesla is seen making a huge effort to boost sales in China, the world’s biggest market for vehicles. The automaker has announced that it will help buyers in the country to trade in their old vehicles if they buy the new Model S. The upgraded version of the sedan is an all-electric vehicle and Tesla is clearly seeking to boost sales of the vehicle in the country.
Reportedly, Tesla has planned to bridge the gap between used-cars traders and Chinese buyers in several parts of the country. CEO Elon Musk led automaker has announced plans to offer facilities in Shanghai, Beijing, and Hangzhou.
Tesla will facilitate the sale of the Model S by offering buyers of the Model S sedan with a deduction of the amount acquired from the sale of their old cars. The news was confirmed by the company in a statement. The vehicle will be available in China at a starting price of 648,000 yuan, equivalent to $104,000.
The Model S sedan was launched in the Chinese market in April this year. CEO Musk expects to start the manufacture of the vehicle in China itself in a span of three years, he said.
Earlier this year, Tesla’s China wing had made an unfavorable announcement. The company had announced the resignation of Veronica Wu within one year of joining. He was the head of the country’s operations. However, Tesla continues to expand its operations in the country and has been working in collaboration with companies like Soho China and China Unicom.
The car-maker is building more charging stations in China and currently has 700 power points across the country.