• 2 hours For American Businesses, The Fairy Tale Is Already Over
  • 5 hours Market Mayhem Sparks Worries Of A Looming Recession
  • 7 hours Closure Of World's Most Important Waterway Could Be An Economic Disaster
  • 23 hours Would You Give Up Your Privacy For A Few Bucks From Facebook?
  • 1 day The $3.2 Trillion Caspian Caper
  • 2 days The Billion-Dollar Brands Behind The Street Fashion Coup
  • 2 days Gold Miners See Massive Upside Potential As Precious Metals Climb
  • 3 days Colorado Rakes In $1 Billion In Pot Revenue
  • 3 days London Metals Exchange Bars Day Drinking On Trading Floor
  • 4 days Tax Cuts And Cheap Money Push The U.S. Budget Deficit Closer To The Edge
  • 4 days Fake “Made In Vietnam” Certificates On The Rise As China Looks To Skirt Tariffs
  • 4 days Kremlin Moves To Dump The Dollar
  • 4 days How Climate Change Could Lead To A Global Economic Crisis
  • 5 days What Happens When Beijing Is Biggest Owner Of US Debt?
  • 5 days Investors Are Betting Big On Boozeless Bars
  • 5 days Why China Won't Back Down In Trump's Trade War
  • 5 days Los Angeles Ports Are Overflowing With Inventory
  • 6 days Google Just Killed One Of Crypto’s Biggest News Sites
  • 6 days A Perfect Storm Is Brewing For Midwestern Farmers
  • 6 days Big Tech Bounces Back After Regulatory Worries
Colorado Rakes In $1 Billion In Pot Revenue

Colorado Rakes In $1 Billion In Pot Revenue

Marijuana might still be illegal…

  1. Home
  2. News
  3. Breaking News

Tesla’s Chinese Sales Are Plummeting

Tesla

Tesla’s sales in China nosedived by 70 percent last month in the latest demonstration of the adverse impact the U.S.-Chinese trade war is having on business. The news, from the Chinese passenger car association as reported by Reuters, comes a few days after the carmaker said it plans to cut its prices for the Chinese market.

China is a key market for Tesla where it plans to build a gigafactory, and last month it only sold 211 cars there, according to the association’s data. A price cut makes sense amid continued trade tension between Beijing and Washington, and a speeding up of the gigafactory plans would also make sense. Tesla also plans to move some production to China.

The company last month said it was launching pre-orders for its affordable model, Model 3, in Europe and China before the end of this year and added it was considering moving the production of some Model 3s to China next year. “We are aiming to bring portions of Model 3 production to China during 2019 and to progressively increase the level of localization through local sourcing and manufacturing,” Tesla said in its third-quarter earnings report. The cars manufactured in China would be sold in China, Tesla also said. 

Separately, earlier this week chief executive Elon Musk admitted the company had been on the brink of collapse because of the delays in the Model 3 production ramp up.

“Tesla faced a severe threat of death due to the Model 3 production ramp. Essentially, the company was bleeding money like crazy and if we didn’t solve these problems over a short period of time we would die. It was extremely difficult,” Musk said in an interview with Axios on HBO.

The money bleeding was certainly no secret at the time Musk talked about—spring this year—but somehow the company managed to turn things around quickly enough to not just avoid death by money bleeding, but even to turn in a profit for the third quarter of the year.

By Irina Slav for Oilprice.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment