CryptoPolyTech.com
Crypto, Politics, Tech, Gaming & World News.

Tesla’s advantage may be becoming less reliant on China (NASDAQ:TSLA)

Our #TECH_Newser covers ‘news of the day’ #techNewserTechnology content.

| cutline • press clip • news of the day |

Cryptopolytech Public Press Pass

Title: Tesla’s advantage may be becoming less reliant on China (NASDAQ:TSLA) Originally reported on seekingalpha.com by Clark Schultz

20000756 – TECH NEWSer | 20000757 – Tesla Electric Cars | •| Tech |•| Newser |•| Technology | 20000757 – Tesla Electric Cars | •| Tesla |•| Electric |•| Cars |

Tesla’s advantage may be becoming less reliant on China (NASDAQ:TSLA).

imaginima

China may be less of a crucial factor for Tesla (NASDAQ:TSLA) than it has in the past as the company’s electric vehicle business goes global. That could be good news for shareholders who have become accustomed to TSLA’s share price swinging with geopolitical, supply chain, or COVID developments out of China.

It is not that Tesla (TSLA) is struggling to grow in China. The Tesla Model Y has the second highest year-to-date BEV market share in China this year behind only the Wuling HongGuang Mini. Overall, the Tesla (TSLA) brand ranks third behind BYD and SGMW for year-to-date market share. However, Tesla China is now facing its biggest ever competition in China from growing domestic Chinese EV companies and Tesla is noted to be starting to offer more promotions in the region.

Morgan Stanley analyst Adam Jonas and team believe Tesla (TSLA) is passing through its peak China dependency stage over the next 12 months. “Capacity growth in the U.S. and Europe will be paired with far higher levels of vertical integration, turbo-charged by tax incentives and production subsidies where Tesla appears uniquely advantaged,” they advised.

The Morgan Stanley view is that the remainder of the decade will see a rapid industrialization of Tesla’s (TSLA) NAFTA and European Union supply chains to achieve compliance with programs such as the Inflation Reduction Act and potential European Union equivalent, which will drive a natural dilution of the role of China in Tesla’s (TSLA) demand footprint and supply ecosystem. Those supply chain advancements could set the company apart from U.S. EV startups with close ties to China.

The firm has an Overweight rating on TSLA and price target of $383.

Read more about some of Tesla’s current challenges in China.

Related Posts


‘News of the Day’ content, as reported by public domain newswires.

Find more, like the above, right here on Cryptopolytech.com by following our extensive quiclick links appearing on images or within categories [NEWSer CHEWSer].

Source Information (if available)

It appears the above article may have originally appeared on seekingalpha.com and has been shared elsewhere on the internet, repeatedly. News articles have become eerily similar to manufacturer descriptions.

We will happily entertain any content removal requests, simply reach out to us. In the interim, please perform due diligence and place any content you deem “privileged” behind a subscription and/or paywall.

We compile ‘news of the day’ content in an unbiased manner and contextually classify it to promote the growth of knowledge by sharing it just like Tesla’s advantage may be becoming less reliant on China (NASDAQ:TSLA)

First to share? If share image does not populate, please close the share box & re-open or reload page to load the image, Thanks!

You might also like