(Yicai Global) May 9 -- Tesla China told Yicai Global today that rumors it will mass produce the updated Model 3 in Shanghai from June 1 are not true.

The Model 3 currently on the market was launched in 2017 and has been Tesla’s best-selling car since then. The company announced early last year that it would launch a new Model 3, with upgrades to the interior and the power system, but it has not been released yet.

Changes in the pricing of Tesla cars since the fourth quarter of last year have reflected fluctuations in orders the company has faced, analysts believe. In its best month last year, Tesla got more than 400,000 orders globally, but in its worst month the orders slumped to 70,000.

Tesla cut the prices of its products in January, some of which were sold at the lowest prices since becoming available in China, triggering a wave of price cuts by rival new energy vehicle firms in the country. 

Last month, it was widely rumored that Tesla would continue to cut prices. But the US carmaker instead raised the prices of the Model 3 and Model Y series by CNY2,000 (USD288.8) on May 2.

Tesla also plans to launch a small electric car equipped with 53 kWh lithium phosphate batteries, according to the production plan disclosed in March.

Editor: Tom Litting