Tesla is reportedly preparing to offer a more spacious version of its popular Model Y electric SUV in China. According to a recent post by a well-known automotive blogger on Weibo, production of a three-row Model Y with a longer wheelbase is expected to start shortly after the Labor Day holiday in China, which runs from May 1 to May 5.
This potential expansion of the Model Y lineup should improve the vehicle's appeal in the world's most competitive EV market. Tesla released the refreshed five-seat Model Y in China earlier this year, but the rise of local EV manufacturers is taking a toll on its dominance. The company's Chinese website already hints at the possibility of a three-row configuration, even though only the five-seat variant is currently available.
To stimulate falling sales, Tesla has been actively promoting the Model Y in China. Initially, the company offered a three-year, zero-interest financing option for customers buying any version of the updated Model Y before the end of April. This incentive has now been bumped to a five-year, zero-interest financing plan, valid until June 30th.
The Weibo blogger also mentioned a new Model Y internally codenamed E80, but it remains unclear whether this refers to the rumored three-row version. Separately, reports from last month indicated that Tesla's "lower-priced Model Y," known internally as "E41," will go into production at the Shanghai plant in 2026.
Tesla's Shanghai Gigafactory is its largest manufacturing facility globally, with an annual production capacity of approximately one million vehicles, encompassing both the Model 3 sedan and the Model Y. In March, Tesla sold 74,127 vehicles in the Chinese domestic market - that's a big increase compared to the same period last year. For the first quarter of 2025, the company's retail sales in China reached 134,607 units.
Specific details regarding the dimensions, pricing, and exact launch date of the three-row Model Y haven't been confirmed, but as the Labor Day holiday approaches in China, the automotive world will be watching closely for any official announcements from Tesla.
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