Update: Tesla Cuts Prices in China After Signs of Softening Demand

Tesla Inc. shares fell to their lowest point since June of last year after the carmaker lowered prices across its lineup in China, where competitive and economic pressures are intensifying.

The carmaker cut the cost of the cheapest locally built Model 3 sedan by 5% to 265,900 yuan ($36,774), Tesla’s website showed Monday. The company dropped the starting price of the Model Y SUV by 8.8% to 288,900 yuan.