Tesla has introduced a series of price cuts for its cars. But recently it has began to lift prices again.
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Tesla raised the prices of its costlier Model S and Model X cars in China, its website showed on Friday, following other hikes on other vehicles a number of days earlier.
Elon Musk’s automotive maker has raised prices by 19,000 Chinese yuan ($2,749) for each models and their various versions.
The Model S now costs 808,900 yuan in comparison with 789,900 yuan before. The Plaid Model S costs 1,028,900 yuan in comparison with 1,009,900 yuan before. The Model X now costs 898,900 yuan in comparison with 879,900 yuan before.
This comes after Tesla raised the price of its Model 3 and Model Y this week in China and other markets including the US
The price hikes come after Tesla slashed prices over the past few months to spur demand.
Tesla CEO Musk signaled in April during a call for payment that the automaker would aim for higher sales volumes versus higher margins, but said he expects the company “to have the opportunity to generate substantial profits over time through autonomy.” .
Tesla often adjusts its price to reply to market conditions.
Tesla appears to be keeping the price of its Model S and Model X higher in China to play in the premium segment of the Chinese electric automotive market.
But the US company faces increasing competition in China from established players like BYD in addition to newcomers like Nio. Nonetheless, in China, there aren’t any major competitors for Tesla in the price category where the Model S and Model X are.