Tesla raises prices in mainland

US electric vehicle giant Tesla raised prices for two models in China due to rising costs, suspending the profit-squeezed price war.

Model Y Long Range is now priced at 302,400 yuan (HK$324,257), up by 2,500 yuan, while the price of Model 3 Long Range has been increased by 1,500 yuan to 297,400 yuan.

Tesla's customer service staff attributed it to rising costs and said the prices may retreat if costs fall again.

The price rise comes after Tesla's third-quarter gross margin plunged to 17.9 percent from 25.1 percent a year ago amid price cuts to compete with Chinese rivals.

Meanwhile, Li Auto (2015) swung to a net income of 2.8 billion yuan in the third quarter from a net loss of 1.6 billion yuan one year ago, as the deliveries surged 296 percent to 105,108 units over the same period. Gross profit margin climbed by 9.3 percentage points to 22 percent in the three-month period ending in September.

Staff reporter