Both the new board members were Theranos fans.
As a car company goes over 200,000 in units sold, its cost per vehicle goes down (since you divide overhead by number of vehicles sold), so they should be able to reduce their price to keep the customers happy in place of the tax credit.
If demand is there, they will be OK.
Of course, this hurts their cheaper model that has less margin.
Still, sell a bunch and it works out.
If they can manufacture a bunch.
X-Runner wrote:
If demand is there, they will be OK.
You mention the problem. Demand. Tesla has parking lots full of Tesla's.
https://www.nytimes.com/2018/10/01/business/tesla-cars-questions.htmlX-Runner wrote:
they should be able to reduce their price to keep the customers happy in place of the tax credit.
And that's what they are doing.
https://www.cnn.com/2019/01/02/business/tesla-price-cut/index.htmlX-Runner wrote:
X-Runner wrote:
they should be able to reduce their price to keep the customers happy in place of (half of) the tax credit.
And that's what they are doing.
Evident proof that the tax credit is entirely unneeded in the first place.
That's not proof that the tax credit wasn't needed.
They are only able to get a better margin to reduce the price at a higher volume of sales.
The tax credit helped them reach that volume.
Sure, they could have sold for losses to reach that volume but it's hard to get investors that way.
The tax credit was a US investment to reduce a future strain on resources.
And it has helped with keeping gas prices low for non EV vehicles.
The tax credit was a US investment to reduce a future strain on resources.
Thank you for stealing from me and every other US taxpayer.
At least it was an "investment" rather than one of Joe Biden's "bets" (Solyndra).
social scum wrote:
The tax credit was a US investment to reduce a future strain on resources.
Thank you for stealing from me and every other US taxpayer.
At least it was an "investment" rather than one of Joe Biden's "bets" (Solyndra).
Here's the term you are looking for.
https://en.wikipedia.org/wiki/Robbery_Under_LawNot surprising Elon is turning to a authoratarian regime like China when his tax subsidies run out. Also not surprising that so many USA libs want to emulate such their heavy tactics.
So far, Tesla’s Gigafactory 3 buildout has been seeing notable support from the Chinese government. Last year, China all but changed its rules for Tesla when it allowed the company to be the sole owner of Gigafactory 3. After the project was officially announced, things moved at an even faster pace. Local Shanghai banks were quick to grant low-interest loans to fund part of Gigafactory 3’s construction. Tesla’s bid for the 864,885-square meter plot of land in Shanghai’s Lingang Industrial Zone also went unchallenged, allowing the electric car maker to secure the land it needed for the facility without any problems. The company also gets support and favorable coverage from state media.
Musk claims the factory will only produce the base version of the Model 3 initially, though it’s unclear if this is meant to be the elusive promised $35,000 car that has yet to go on sale in the U.S., or the $44,000 rear-wheel drive Model 3 currently on sale. Production of the base Model Y crossover will follow after it’s expected to be introduced around 2020.
Musk claims a lot when the day is long.
"The production at the Shanghai plant will help Tesla significantly lower its cost and prices, giving it more edge in the market competition."
Tesla is the first car company who is producing in China?
2018 Cadillac CT6 Plug-in Hybrid
$75,095 | U.S. News Overall Score: 8.4/10
Most versions of the Cadillac CT6, a luxury large sedan, are built in Michigan, but the plug-in hybrid model is an interesting exception. It is built by a GM facility in Shanghai. The CT6, which holds the fourth spot in our luxury large car rankings, went on sale for the 2016 model year, and the plug-in hybrid joined dealership lots for the 2017 model year.
The "groundbreaking" didn’t actually break ground. Rather, it reportedly involved Musk and those accompanying him putting their hands on LED columns which then lit up. Sounds very futuristic.
https://www.cnbc.com/2019/01/07/tesla-shanghai-factory-ground-breaking.html