Hello, everyone!
Today's information includes news about the following:
- Investment Market News
- Tesla Production and Operations
If you're interested in these areas, don't miss out on today's important content.
OK, let's go!
Tesla Stock Update
Let's start with Tesla's stock. It opened at $261.63 on Tuesday and closed at $258.02, down $3.61 for the day, a decrease of 1.38%.
Here's a look at the performance of the three major U.S. stock indexes:
- Nasdaq: down 1.51%
- Dow Jones Industrial Average: down 0.41%
- S\&P 500: down 0.93%
Analysis Report on Electric Vehicles in China
Now, let's move on to an analysis report. According to a report by Gianarikas, an analyst at Canaccord Genuity, a Canadian investment firm, despite the constant negative rhetoric surrounding electric vehicles (EVs) in the market, EVs and hybrid vehicles are rapidly eroding the traditional car market, especially in China.
With the rapid rise of electric vehicles, the landscape of China's auto market is undergoing tremendous changes. According to statistics, the market share of electric vehicles in China is expected to reach nearly 50% in 2024. This is much higher than 6% in 2020. This astonishing growth rate demonstrates the rapid development of the Chinese market in electric vehicles.
The latest data shows that by 2024, the market share of Chinese domestic brands will surge from 43% in 2020 to 62%, while global brands, especially those from the United States, Germany, and France, are facing pressure from a sharp decline in market share.
Take General Motors (GM) as an example. The company's sales in China during the same period dropped from 2.9 million vehicles in 2020 to 1.8 million vehicles in 2024. This trend reflects the continuous shrinking of the traditional internal combustion engine (ICE) vehicle market in China.
It is worth noting that Tesla, as a Western car company, has maintained its leading position in the fiercely competitive Chinese car market with its powerful electric vehicle product line.
In the past few years, Chinese domestic brands have seized the opportunity of electrification transformation and quickly emerged globally. In 2024, 18 of the world's 20 best-selling electric vehicles will come from Chinese brands.
Global car companies, especially traditional manufacturers in Europe and the United States, have failed to keep up with this wave of transformation due to years of focus on the sales of fuel vehicles. Traditional brands such as General Motors, Ford, and Volkswagen are gradually losing their competitiveness due to a lack of adequate preparation for the electric vehicle market.
The Canaccord Genuity report emphasizes that Tesla can still gain a foothold in the fiercely competitive Chinese market and will become one of the bright spots in the third quarter of 2024.
The report predicts that electric vehicles and hybrid vehicles will continue to recover in the future, and Tesla will benefit from this important trend.
The above analysis is for your reference only and does not constitute investment advice.
Tesla Production and Operations Update
Sales News
Tesla recently announced that it has stopped selling the entry-level Model 3 Rear-Wheel Drive (RWD) in the US market and will offer the Long Range RWD as the new entry-level version. This model has a range of 363 miles and starts at $34,990, including tax credit subsidies.
There are two main factors behind this change. First, the Biden administration in the United States recently increased tariffs on electric vehicles imported from China from 25% to 100% and raised tariffs on lithium-ion batteries and their parts from 7.5% to 25%.
Second, although the Model 3 RWD is produced in California, it uses lithium iron phosphate (LFP) batteries from China, so it is not eligible for the $7,500 tax credit. The Model 3 Long Range RWD is eligible for the subsidy. This will also lead more consumers to choose the long-range version.
The combination of these two factors led Tesla to decide to discontinue the base Model 3 RWD. This also means that Tesla no longer uses Chinese-made LFP batteries in the models currently sold in the US market. This move will help Tesla better respond to new US trade policies and maintain the competitiveness of its electric vehicles in the market.
Canadian Import Tariffs
In other news, Canada has officially imposed a 100% tariff on electric vehicles (EVs) made in China starting October 1, 2024, and canceled the C$5,000 EV purchase subsidy offered by the federal government. This measure follows similar actions taken by the United States and Europe, aiming to reduce reliance on Chinese imports and promote local production.
However, it has also raised concerns about whether Tesla will adjust prices, as Tesla currently imports Model 3 and Model Y vehicles from its Shanghai Gigafactory in China to Canada.
While many expected Tesla to adjust prices in response to the tariff increase, similar to what it did in Europe earlier this year, and issue a price increase warning in advance, a look at Tesla's Canadian official website shows that the prices of the Model 3 and Y have not changed.
Transport Canada's website now shows that imported versions of the Model 3 and Y are no longer eligible for the federal purchase subsidy as of October 1, 2024, but Tesla's website still shows that the Model 3 Rear-Wheel Drive (RWD) and Long Range, as well as all three versions of the Model Y, are still eligible for the C$5,000 subsidy.
This suggests that Tesla may have changed its logistics route, no longer importing cars from the Shanghai Gigafactory, but relying on US production to supply the Canadian market. Tesla is likely shipping to Canada from its Fremont factory, and perhaps even supplying the Canadian market from its Texas Gigafactory for the first time. The goal is to avoid Canada's tariffs in the future, avoid passing on additional costs to consumers, and maintain price competitiveness.
In the future, we will pay close attention to Tesla's pricing strategy and provide you with the latest news as soon as there are any changes.
Below I bring you more updates. If you like the sharing in this video, please like and subscribe. This is the biggest encouragement and support for me.
European Market Update
Despite nearly a year of labor strife, Tesla continues to perform strongly in the Swedish market. In the first nine months of 2024, Tesla sold 16,478 cars in Sweden, maintaining 1% growth and increasing its market share to 8.5%, up from 7.8% in the same period last year.
This growth demonstrates Tesla's continued competitiveness in the European market, particularly in Northern Europe. The Nordic region has a clear trend of electrification. The latest data shows that 96.4% of new vehicles registered in Norway in September were pure electric vehicles, a significant increase from 90% in the same period last year.
Norway has become a global benchmark market for promoting the adoption of electric vehicles. With electric vehicles surpassing traditional fuel vehicles, the Norwegian car market is rapidly transitioning to full electrification.
Software Update
According to the latest news, Tesla's Premium Connectivity subscription service will no longer include LiveOne's Slacker Radio from December 1, 2024. Users who want to continue using LiveOne's streaming music service in their Tesla vehicles will need to subscribe separately. For those who have Tesla's lifetime free Premium Connectivity, they can still use LiveOne's service for free.
Similar changes will also occur in Spotify's services. Starting December 1, 2024, Spotify's premium in-car account will no longer be included in Tesla's Premium Connectivity subscription. Owners will need to log in through their personal Spotify account and update their account information on the in-car screen.
These changes reflect some strategic adjustments Tesla has made to its music streaming services. Owners will need to choose different service providers or pay an additional subscription fee based on their individual needs to continue using these features.
The video below is a link to my Patreon. Friends who want to listen to the audio can click to subscribe.
Advertising Update
Tesla has significantly increased its activity on the X platform in September. Tesla posted a total of 482 posts through its 19 different official accounts. These posts generated a total of over 200 million impressions, showing that Tesla is becoming more and more active on social media.
This data demonstrates Tesla's high level of interaction on social media platforms and has significantly increased its brand's social media exposure.
Semi Truck Update
Tesla's AI team recently hinted on the X platform that it may launch Full Self-Driving (FSD) for the Semi truck at its upcoming October 10 launch event. Based on their responses, Tesla may have more surprises in store.
If FSD is indeed applied to the Semi truck, it will be an important step for Tesla towards the commercialization of fully autonomous driving technology, and it will also have a profound impact on the entire logistics and transportation industry.
We look forward to the October 10 launch event to bring us more surprises.
Energy Update
The latest data shows that Tesla has installed 750,000 Powerwall energy storage systems worldwide. Earlier this year, Tesla's production capacity was further enhanced with the launch of the Powerwall 3 version. This has pushed installations to new all-time highs.
It is estimated that in the first nine months of this year, Tesla installed an average of more than 630 Powerwalls per day. It is estimated that Tesla has generated approximately $1.4 billion in revenue from Powerwall sales so far.
With the growing demand for energy storage, Tesla's Powerwall products have shown strong performance in the global market and have become an important growth engine for Tesla's energy division.
What do you think of today's news? You are welcome to share your views in the comment section.
Well, that's all for today's content. If you want to know more about these areas, please like and subscribe. Thanks for watching.