Tesla launches Model Y Performance in China at $54,450 as Model Y sales slump

• The Model Y Performance starts at 369,000 yuan ($54,450) in China, with a 3.5-second 0-100 km/h sprint and a CLTC range of 659 km.
• Deliveries are expected in 2-6 weeks, with the launch coming after 3 consecutive months of year-on-year declines in Model Y sales in China.

Tesla (NASDAQ: TSLA) has launched a high-performance all-wheel-drive version of its refreshed Model Y in China, expanding its lineup as sales of its key model come under pressure.

Tesla announced the launch on Weibo on Friday, September 11. Its Chinese website lists a starting price of 369,000 yuan ($54,450) and an estimated delivery wait of 2-6 weeks.

The Model Y Performance accelerates from 0 to 100 km/h in just 3.5 seconds, reaches a top speed of 250 km/h and offers a CLTC range of 659 kilometers.

The new version becomes the fifth Model Y variant in China and the most expensive in the lineup, costing 30,000 yuan more than the 6-seat Model Y L.

The other 3 variants are the Rear-Wheel Drive, Long Range Rear-Wheel Drive and Long Range All-Wheel Drive, starting at 263,500 yuan, 288,500 yuan and 313,500 yuan, respectively.

The Performance variant has a 5-seat layout, with distinctive exterior styling, sport seats and chassis features that set it apart from other versions.

It features aerodynamic front and rear fascias, a carbon-fiber spoiler, standard 21-inch Arachnid 2.0 wheels and red brake calipers.

The cabin has carbon-fiber trim and ventilated front sport seats with power-adjustable thigh supports. The rear seats offer heating and power folding.

Driving features include continuously variable dampers, adaptive suspension, stability assistance and multiple performance driving modes.

The Shanghai-built variant appeared in a vehicle filing catalog issued by China's Ministry of Industry and Information Technology (MIIT) in July. A purchase tax relief catalog released in August provided further details on its battery and range.

Earlier filings showed a 78.4 kWh battery pack with cells supplied by LG Energy Solution's Chinese subsidiary. The front and rear motors are rated at 176 kW and 291 kW, respectively.

The launch comes as the Model Y's sales decline in China deepens. The SUV (sport utility vehicle) still accounts for more than 70% of Tesla's deliveries in the country this year.

Model Y deliveries in China totaled 29,260 vehicles in August, down 25.76% year-on-year, according to China Passenger Car Association (CPCA) data compiled by CnEVPost.

That marked the third consecutive month of year-on-year declines, with the drop widening from 13.81% in June and 18.23% in July.

In the first 8 months of the year, Model Y deliveries in China totaled 226,931 vehicles, down 6.10% year-on-year. Tesla's total deliveries in the country fell 12.44% to 316,251 over the same period.

Tesla is also offering inventory discounts to boost deliveries ahead of the end of the third quarter. The company announced on September 7 that customers who purchase and take delivery of eligible Model Y inventory vehicles by September 30 can receive a 10,000 yuan reduction in their final payment.