Tesla revealed a refreshed version of its popular Model 3 electric vehicle, featuring a longer driving range. The upgraded model will be available in China, Europe, the Middle East, Australia, and Japan, putting pressure on competitors who are expected to announce their own electric vehicles soon.

China, the world’s largest auto market, will see the new Model 3 with a starting price 12% higher than the previous version, reversing the price-cut trend that fueled a competition between Tesla and Chinese EV rivals.

This updated Model 3 is Tesla’s first new or restyled car since the launch of its global best-seller, the Model Y, in 2020. Production of Tesla’s Cybertruck is scheduled to begin later this year.

The introduction of the Model 3 in China and other export markets suggests that Tesla’s Shanghai plant will be the first to manufacture the model, alongside its facility in Fremont, California.

Enhanced Features and Increased Range

According to Tesla’s website, the new Model 3 promises a longer driving range specifically for the Chinese market. The standard version has a rated range of 606 km (377 miles) based on China’s testing standards, approximately 9% higher than the previous base model.

Tesla is now accepting orders and plans to begin deliveries in China in the fourth quarter, while Australian customers can expect deliveries in January.

In July, Tesla sold 64,285 China-made electric vehicles, a decrease of 31% compared to the previous month, according to the China Passenger Car Association (CPCA).

In a statement, Tesla’s China operations highlighted the improved acoustic system, enhanced interior comfort, and a new display screen for back-seat passengers in the new Model 3. The exterior also features subtle changes, giving the sedan a sleeker front and updated headlights.

Competition and Future Plans

Tesla’s announcement coincides with the upcoming Munich Auto Show, where German automakers are expected to reveal their own fleet of new electric vehicles. This includes a new version of the Volkswagen ID.7 and an electric CLA sedan from Mercedes.

Reuters previously reported that Tesla had been working on a revamped Model 3, known internally as “Highland,” with the aim of reducing production costs and enhancing the model’s appeal.

In China, the new Model 3 starts at 259,900 yuan ($35,807.78) as indicated on Tesla’s website.