Tesla cars, the only foreign car brand, have entered the government procurement catalogue for the first time, Paper.cn reported.
Tesla Model Y included in the provincial government’s new model. In accordance with the procurement document of the open framework agreement (JSZC-320000-SCZX-K2024-0107) announced by the Jiangsu provincial government, the circle of buyers or service objects applicable to the framework agreement are party and government agencies and public institutions at all levels.
In the government’s procurement catalogue, a Tesla Model Y manufactured in Shanghai is available at a price of 249,900 yuan ($34,377). The model is currently Tesla’s most popular SUV model.
Tesla’s second-quarter production and delivery report released on 2 July showed that Tesla produced 410,800 vehicles in the second quarter as of 30 June, down 14% year-on-year. Total deliveries were 444,000 vehicles year-over-year, but up 14% month-over-month, above market expectations. A total of 422,400 Model 3/Y units rolled out.
Tesla vehicles have previously been banned from entering some government and military facilities in China due to espionage and data security concerns, but the restrictions were lifted in April when a leading automobile association announced Tesla had passed Chinese data security requirements. So far, the gesture has now been widely popular on Chinese social media, with some users questioning whether foreign cars would be worth considering for government use. Moreover, the agreement underscores China’s warm relationship with Elon Musk’s company.
Tesla’s share price has risen sharply recently. On 3 July, it continued to rise thanks to second-quarter deliveries that exceeded expectations. It rose more than 6 per cent, rising for seven consecutive trading days, the longest stretch since June 2023.
