Tesla sales have been in a massive worldwide slump, including in China, where local EV companies have gained significant ground on the American automaker. Tesla releases refreshed Model Y in China, preps cheaper version for future: 'You will know after trying it' first appeared on The Cool Down.

In a bid to regain market share in China, Tesla ( NASDAQ: TSLA) is reportedly developing a lower-cost version of its best-selling Model Y in Shanghai.

Tesla will make a lower-cost version of its best-selling Model Y in Shanghai, three people with knowledge of the matter said, aiming to regain ground lost during a price war in its second-largest market.