NIO CEO interview: we sold stamping machine to Tesla Shanghai at the darkest time in 2019. The equipment saved Tesla 6 months and the money kept NIO afloat.
This is the first squeeze of the Chinese NEV market. Tesla cutting prices has industry wide implications. Tesla still has 20+% margin. Others, not so much. First EV startup bankruptcy is coming
Tesla China’s unmet demand is going to get worse. There’s a sizable ‘wait party’ in China, potential buyers delaying purchase expecting a price cut or a better revision. Now that the price cut expectation is flipped, these buyers are rushing in before the next price raise.
LatePost Auto article
Tesla's Major Adjustment: The Disaster Brought by Going All In, and Solving it by Going All In
Model Y and Model 3 need to hold on for at least two more years.
Until March this year, various departments at Tesla were still discussing the mass production
Tesla China claims 30% weight reduction while improving safety metric by 20% and 100% raw material utilization on rear underbody using single piece casting.
Tesla China: production in December is at full speed for end of quarter delivery wave. Commercial activities are recovering after lifting of covid restrictions.
Rumor: Tesla Shanghai factory to start “enclosed production” on April 17th, for 10-20 days.
Workers will live inside the factory and take regular PCR tests.
CPCA: Tesla Shanghai factory completed Model Y facility upgrades on July 16th. Model 3 production to resume on 8th August. Production capacity to reach 3000/day
What I don’t understand is how betting on FSD prevents Tesla from bending more metals on the side.
It’s like as if because Musk acquired twitter, spaceX had to cancel falcon heavy
Tesla can bet the company on AI while shipping 10 new models. These are done by completely
- Model Y factory expansion completed
- Model Y SR introduced
- Chip shortages eases in Q3
==> Model Y production rate from Shanghai is about to double IMO
The Tesla China team is expected to deliver more than 100K cars this month (September). This will be a new record. The highest month last year was 71K in December. The highest month so far this year was 78K in June.
$ZH Model Y tear down: Mega casting cuts weight by 10-20%, dev. cycle reduced, connection point down from 7-800 to 50, cycle time down from 1-2h to 3-5min, higher strength with better NVH while cost went flat. 😳
I don’t think people fully understand the power of the made in China long range Model 3. The most appealing luxury sedan in ¥300-400k(¥42k-56k) range is now an EV, a Tesla. It’s going to be
#1
in market share, outselling the 3 series, A4 and C class