Tesla Cuts China Prices Again, Triggering Slump in Auto Stocks

(Bloomberg) — Tesla Inc. rolled out a new round of price cuts in China, sending auto stocks tumbling on concerns the move will respark a bruising price war that had showed signs of abating.

The automaker reduced the price of the top-end Long-Range and Performance versions of the Model Y sport utility vehicle by 14,000 yuan ($1,900) to 299,900 yuan and 349,900 yuan respectively, according to a post on its Weibo account on Monday. An 8,000 yuan insurance subsidy on newly purchased Model 3 rear-wheel drive vehicles was also extended until the end of next month.