Tesla Rolls Out China-Made EVs in Canada, Shows Website

model y rwd shanghai

Tesla is officially introducing its China-produced Model 3 and Model Y electric vehicles to the Canadian market. According to the company’s website and reports from Reuters (via Tesla North), this move marks the successful initial shipments from Tesla’s Shanghai factory to North America.

Tesla’s listings confirmed immediate availability for the rear-wheel drive Model Y and the long-range, all-wheel drive Model 3, both originating from Tesla’s Gigafactory in Shanghai. These models qualify for Canadian federal iZEV rebates of $5,000, plus other provincial rebates on top (such as up to $4,000 in BC or $7,000 in Quebec).

China offers Tesla and other EV makers cost advantages that enable increased exports. The price tag for the China-manufactured RWD Model Y starts at $59,990 in Canada. Its specs include up to 394 km of EPA-estimated range, to go with a top speed of 217 km/h and a 0-100 km/h time of 6.9 seconds.

The implications of this move are two-fold. Firstly, it allows Tesla to reserve its US-manufactured vehicles for domestic sales, potentially reaping benefits from the Biden administration’s $7,500 USD subsidy program. This program favours EVs with batteries made in North America. Secondly, it opens up a new market opportunity for Tesla’s efficient Shanghai factory, which was accountable for over half of the company’s production last year.

However, Tesla’s Shanghai factory, despite its impressive output, faces robust competition from local Chinese EV makers. As such, Tesla’s Berlin factory is ramping up Model Y production to meet European demand.

Interestingly, Tesla uses a unique coding system for listing its vehicles. The Vehicle Identification Number (VIN) prefix “LRW” designates a vehicle from the Shanghai factory. Despite these clear indications, the exact number of China-made Teslas available in Canada, or the number already sold, remains undisclosed. Existing inventory of Tesla vehicles ready for immediate delivery in Canada showcases the “LRW” prefix in the URL, confirms Tesla North.

More evidence? Those tracking ships with Tesla vehicles show a second vessel is on route to Canada from Shanghai.

This strategic move follows last month’s announcement of a cheaper RWD Model Y variant’s introduction to Canada, priced to be eligible for federal rebates and signifies its Shanghai origins via the VIN code.

What’s the deal with Tesla vehicles manufactured at Giga Shanghai? If you read any reviews on the web or on YouTube, the build quality of Shanghai-made Tesla vehicles is far better than those from the company’s Fremont, California factory.