Part 5/11:
Tesla’s strategy in China appears to be a double-edged sword: on one hand, it strengthens Tesla’s market share, where it is obliterating local competitors like BYD’s EV division, which has seen sales plummet by over 50%. Tesla's market share is growing despite the lack of a new model for some time, demonstrating its pricing power and brand dominance.
Musk emphasized doubling down on China, citing low-cost manufacturing and strategic market positioning. Tesla’s gigafactory in Shanghai is pivotal, producing well over half of Tesla’s global vehicles in Q4, with 53.5% of total production, yet only 30% of global deliveries were made within China. This indicates substantial export activity, reinforcing Tesla’s global reach and ability to supply markets worldwide.