Tesla cuts China prices to counter tariffs

Californian EV maker Tesla has reduced its prices in China to compensate the price increase caused by the country's import taxes on American products. The company announced last week that it will slash prices of its Model S sedan and Model X SUV by between 12 and 26 per cent, sacrificing a large portion of its margin to uphold sales.

The basic version of the Model S now costs 782,900 yuan (€99,000) while the most expensive version of the Model X can be bought at 1.2 million yuan (€152,000). The Tesla Model 3 will be launched in the People's Republic with a starting price of 540,000 yuan (€86,000), reports CNN.