This comes just four months after the bZ4X officially went on sale in China on October 10, 2022.

(Image credit: GAC Toyota)

Toyota has slashed the price of its electric SUV, the bZ4X, by a significant amount in China, just four months after the model's launch here.

The Japanese automaker's joint venture in China, GAC Toyota, announced today that the bZ4X's price has been cut by 30,000 yuan ($4,420), bringing the starting price down from RMB 199,800 to RMB 169,800.

In a poster posted on Weibo, GAC Toyota emphasized that the offer is limited time, but did not mention the expiration date.

The bZ4X, officially launched in China on October 10, 2022, is GAC Toyota's first model based on the e-TNGA architecture and was available in the price range of RMB 199,800-287,800.

In addition to the price reduction, GAC Toyota is also offering consumers low-interest loan offers and trade-in subsidies of at least RMB 5,000.

The bZ4X is available in two-wheel drive and four-wheel drive versions. The front-wheel drive version has a maximum power of 150 kW and a maximum torque of 266.3Nm and is equipped with 50.3 kWh and 66.7 kWh ternary lithium battery packs with a CLTC range of 400 km and 615 km respectively.

The four-wheel-drive version with dual motors has a maximum total power of 160 kW and maximum torque of 337 Nm, and is equipped with a 66.7 kWh ternary lithium battery pack, with a CLTC range of 500 km and 560 km, respectively.

Prior to its launch in China, Japanese safety regulators found in June 2022 that the bZ4X could cause wheel rim bolts to loosen during sharp turns and emergency braking, with the risk of wheels falling off.

Toyota then spent months addressing the issue and recalled more than 2,700 vehicles.

Toyota is the latest to follow Tesla's price cut in China.

On January 6, Tesla significantly lowered the prices of all its China-made models, dropping the starting price of the entry-level, rear-wheel-drive Model 3 to RMB 229,900 yuan, the lowest starting price ever for the model in China.

Tesla has a factory in Shanghai that produces the Model 3 and Model Y. The company currently offers two versions of the Model 3 in China, as well as three versions of the Model Y.

Since then, several car companies, including Xpeng (NYSE: XPEV), Nio (NYSE: NIO) and Huawei-backed AITO, have also cut vehicle prices or offered purchase discounts.

These price cuts and incentives are seen as helping to drive sales to rebound in the coming months.

"Moving forward, we expect the recent round of price cuts to stimulate a big rebound in EV orders. Thus far, we have seen some type of price discount or promotion from at least 8 OEMs including Tesla, Xpeng, and Nio," Deutsche Bank analyst Edison Yu's team said in a research note sent to investors on Wednesday.

It's worth noting, however, that joint venture brands are seen as significantly lagging behind local Chinese automakers in their electrification transition. Whether Toyota's latest move will significantly boost sales is unknown.

The GAC Toyota bZ4X sold 1,487 units in China in December, ranking 70th among all-electric models sold in China, according to data from automotive media outlet Yiche.