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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] Tesla Korea has reduced prices for its popular electric vehicles as of December 31, 2025. The Model 3 Performance was cut by KRW 9.4 million to KRW 59.99 million, while the Model Y Rear-Wheel Drive (RWD) dropped KRW 3 million to KRW 49.99 million, bringing its price below KRW 50 million.
The price adjustments are attributed to multiple factors, including clearing inventory from Tesla’s Shanghai plant, the domestic launch of the refreshed Model 3 Highland, and changes in government EV subsidy criteria.
Industry analysts interpret the move as a strategic attempt by Tesla to maintain market leadership in South Korea’s growing EV sector. According to the Korea Automobile Mobility Industry Association and Korea Imported Car Association, Tesla sold 55,594 units through November 2025, surpassing Kia (55,037 units) and Hyundai Motor Company (42,789 units) to rank first. If the momentum continued into December, it could mark the first time an imported EV brand led the South Korean market, traditionally dominated by domestic automakers.
The price competition also reflects spillover from China’s aggressive EV market, where Tesla and BYD have been engaged in intense price cuts. BYD, which entered the South Korean passenger car market last year, sold 4,955 units from January to November 2025 and plans to launch affordable models such as the compact Dolphin hatchback. China’s Geely premium brand Zeekr has also officially entered South Korea, further intensifying EV competition.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
