Musk likely thinks they need more space to locally produce the Gen-3 platform in China, which is why the applied for more space. China is probably telling him to do it on the existing grounds, given how old the Model 3/Y will be when the Gen-3 car comes out post 2025.
Thank you for this article. I think it could be possible that it is more important for Tesla to fulfil strict chinese agreements than to run any factory in a profitable way.
I am waiting for what will happen if demand goes down in a pronounced way even after big price cuts.
If Tesla loses profitability, at least deliveries must grow to keep the story going.
It is amazing how careless people are buying Tesla stock. For shorts always more patience is needed it seems.
Note that they dropped Model S/X prices in China, but didn't do anything with the locally produced Models 3/Y, which prompted a huge (loss-making) price war in China's EV market.
There have been rumor that Tesla SH has applied to expand again but hasn't received approval https://www.teslarati.com/tesla-gigafactory-shanghai-china-450000-expansion/
looks like the gov is concerned about over capacity and also might be unpleasant about Tesla using price war to crush local brands.
Musk likely thinks they need more space to locally produce the Gen-3 platform in China, which is why the applied for more space. China is probably telling him to do it on the existing grounds, given how old the Model 3/Y will be when the Gen-3 car comes out post 2025.
Thank you for this article. I think it could be possible that it is more important for Tesla to fulfil strict chinese agreements than to run any factory in a profitable way.
I am waiting for what will happen if demand goes down in a pronounced way even after big price cuts.
If Tesla loses profitability, at least deliveries must grow to keep the story going.
It is amazing how careless people are buying Tesla stock. For shorts always more patience is needed it seems.
Note that they dropped Model S/X prices in China, but didn't do anything with the locally produced Models 3/Y, which prompted a huge (loss-making) price war in China's EV market.
Changing shipping to canada from Fremont to China does not seem very green.