Electric vehicle manufacturer Tesla announced earlier this year that it will be putting up a manufacturing plant in China. Of course, this is good music especially to China as she thrives to build and maintain a bold international economic presence.
Tesla’s entrance into the Chinese market as a manufacturer comes amid heightened competition between the United States and the Asian economic giant. Is this good or bad for Tesla?
The answer to this question will best be answered by the results the company posts in the future. Nonetheless, the tides are positively shifting in its favor, if the recent financial postings are anything to go by. In an unexpected announcement, CEO Elon Musk revealed that Tesla had moved to profitability in Q3 2018, in what he termed as an “incredibly historic quarter.”
Such achievements aren’t minor to the young car manufacturer especially when you consider its tumultuous journey. Thus, Tesla’s investment in the Chinese market underscores confidence in company’s ideas, and daring to see possibilities amid risks.
Musk further confirmed that the company will start production of its Model 3 in China come 2019, hoping to effectively escape the tariffs charged imposed by China on vehicles manufactured in the United States.
Tesla and Musk’s optimism is correctly timed. All major vehicle manufacturers have their eyes on the electric vehicle market, with several products at various stages of development. As an industry pioneer, however, Tesla has the attention of analysts, competitors as well as naysayers.
Focus now shifts to a projected busy year ahead as manufacturers rush to reinforce their ability to cash on the EV market. We can prophetically confirm that the years ahead have good things in stock for consumers. Affordable ,environmental-friendly, classy and more tech-savy machines will roll on our roads in great numbers pretty soon.