Tesla Motors Inc. is trying to woo wealthy consumers in China to buy its Model S electric sedan by helping them trade in their older vehicles. Tesla said in a statement that it will collaborate with used-car traders to buy vehicles from Model S customers in large Chinese cities like Beijing, Shanghai and Hangzhou.
The carmaker will deduct the value of the sale from the price of the Model S, which carries a base tag of CHY648,000 ($104,000) in China. The California-based EV maker commenced deliveries of the Model S in China in April this year and has plans to start local production within three to four years.
The trade-in scheme came after Tesla disclosed this month that Veronica Wu has quit as chief of its operations in China, where it has nine stores and service centers in six cities.
Tesla has also partnered with companies like China Unicom and Soho China Ltd. to construct charging stations in China. The carmaker currently has around 700 power points in 70 cities across the country.