Could Tesla's future in Turkey be in jeopardy?

Tesla is working on a refreshed Model Y and plans to manufacture it in China. If this happens, Tesla's presence in Turkey could be at risk.

Don't leave your news choices to an algorithm - decide for yourself what you read. Add 12punto to your preferred sources!

Could Tesla's future in Turkey be in jeopardy?

A development regarding electric vehicle giant Tesla has emerged that also concerns Turkey. According to a report by Bloomberg citing sources familiar with the matter, Tesla is working on a refreshed Model Y for 2024. While this development might seem exciting and positive on its own, there is more to it...

As reported by Webtekno, the sources claim that Tesla will manufacture the refreshed Model Y in China. The planned mass production date is the middle of the year. If this happens and Tesla shifts Model Y production to China, Tesla's future in Turkey could come to an end. Even if that does not happen, there could be very significant price increases.

REGULATIONS COULD ENDANGER ITS FUTURE IN TURKEY

Just a few weeks ago, the government made a decision and imposed restrictions on the import of electric vehicles from China. In simplest terms, the regulation imposed requirements on brands such as establishing at least 20 authorized service centers and creating a call center with 40 employees. It appears that Tesla may not want to comply with this, and as a result, it seems likely that it could withdraw Model Y sales from Turkey.

On the other hand, there is also the tax dimension. As is known, an additional customs duty is applied to electric vehicles imported from China. Due to the "tax on tax" application, this additional customs duty adds a 54 percent burden to vehicle prices. There is no such situation for electric vehicles coming from Europe. If Bloomberg's claim proves true, the refreshed Model Y might not be preferred in Turkey.

Tesla's plans are not exactly known. The Model Y is currently also produced in Germany. It is unclear whether this will continue with the refreshed Model Y. If all Model Y production is shifted to China, the factory in Germany would become idle. Perhaps the company will start producing the Model 3 there. In such a scenario, the Tesla vehicle coming to Turkey would likely be the Model 3. To clarify all of this, we will need to see an official statement.

News Source: 12punto