Tesla shared an interesting chart in its latest financial report (see below). The additional data gives us at least a bit more perspective on how Tesla is doing in foreign markets (hint: well).
Breaking down Model 3 sales by region, provides additional insight into how well the electric car manufacturer is doing not only in North America, but also in growth markets:
Per Inside EVs, we can see that about half of Model 3 cars, or 150,000 or so, were sold in North America. That’s followed by Europe and then Greater China:
“A very positive sign is that in 2019, despite all the expansion in Europe and China, Tesla actually managed to increase its sales in North America by a noticeable amount, despite the phase-out of the federal tax credit in the U.S. and the lack of a long queue of orders like in 2018. That alone is a huge success.” (insideevs.com)
The results are, as most know already, absolutely astounding. This much growth, this fast over the past year or so thanks to the Model 3 success is quite impressive.
And we know all too well how the stock has performed.
Year-to-date, NASDAQ: TSLA is up a whopping 55%. That’s over just 31 days.
Could things be getting even brighter for Tesla and its investors…
Enter the Model Y
With Tesla announcing Model Y production with deliveries as soon as March 2020, it’s hard to imagine the EV company slowing down anytime soon. Some suggest, however, Model Y sales could come at the expense of the Model 3. True. I’m sure there will be some cannibalization. Still, the small luxury SUV market is hot right now. Buyers who shied away from the Model 3 because of its small size and the Model X because of its high price tag will likely find the Model Y just right; no doubt the Goldilocks of electric SUVs.
Let’s also not forget about the wedgy, wild Cybertruck — “better utility than a truck with more performance than a sports car”.
That too could open up a whole new market for Tesla: the pickup truck.
Albeit one that would look like the perfect set piece for a Terminator film.
Demand has reportedly been high. Then again, the $100 USD reservation fee isn’t exactly the most convincing metric to prove the person behind the modest deposit is willing to ultimately go through with the purchase when the time comes. Regardless, it’s a new model that will open up a new pool of potential buyers.
Now that BMW, Mercedes, Porsche and domestic American brands are arming up their EV product lines, it will be interesting to see how well Tesla fares as more competition comes on board and consumers have more choice. Yes, we will be watching how Tesla holds up. That’s an understatement of course. All eyes have been on Tesla for quite some time, and CEO Elon Musk and the team seem to be thriving under the investor scrutiny and pressure to meet deliverables.
Who knew the next generation auto success story would come from not only the U.S., but from a place called Fremont, California?