While we tend to focus upon Tesla and how electric vehicles are disrupting the automotive industry. There is also the direct-to-consumer which is going to affect dealerships.
In this video I discuss a third factor that is entering the picture. This is BYD and something worthy of learning from this video.
Disruption in motion.
▶️ 3Speak
You hit the nail on the head with the Chinese. I don’t know much about BYD but I have been watching cars a few weeks now as I am out trying to buy one. I have come to the same conclusion as you. That is the Chinese are disrupting the global automative industry
just like how Japan did.
Here in the US we have UAW pending strike with automakers are not helping. The other day I just learned China has been building cars and shipped to the US consumers like some of GM’s Buicks. Even VW are buying China made parts to assembly their vehicles.
The most recent example is Tesla rolling out with updated model 3 in China and Europe first. The main reason is because China’s Shanghai plant has the skill set and personal to perform the upgrades three months in advance of the US plants. In other words US consumers will not get to buy the updated model 3 until 2024 at the earliest. On top of that China has control of most rare earth materials. The time of disruption is here but people just not talking enough about it.
All true.
People get lost in the noise about China and the US battle going back and forth. China is the largest car market, much bigger than the US. While the Chinese companies are not invading the US (yet), it is likely starting in Europe.
There are reports that Tesla is about to start a second megapack factory, this one in China. It is supposedly starting production in Q2 next year. It would take longer than that to get some base permits in Germany.
Speed is key and the Chinese excel at it.