Tesla Inc (NASDAQ: TSLA) changed the rules of the automotive game- but now, the game is changing. For the first time in its history, Tesla has found itself in an increasingly crowded field. In a challenging environment filled with uncertainty, anything can happen- including the EV pioneer losing its throne to fast-emerging rivals, including both local startups and legacy automakers.
Model Y Competitor- BYD Represents Song L Concept
On April 18th, the BYD Company Limited (OTC: BYDDY) unveiled its Song L concept during the Shanghai Auto Show. As part of the Dynasty series, BYD presented an electric fastback SUV. BYD titled it as a B-class EV. With BYD’s EVs being targeted at youngster, this is no exception with its ‘Vanguard Dragon Beauty’ design language.
Luxury Brands Are Benefiting From China’s Recovering Demand
On April 17th, Porsche AG stated it achieved a record YoY sales increase of 18% in the first quarter fueled by delivering 21,365 cars in China, its largest single market, which translates to 21% YoY growth. The German luxury carmaker enjoyed a sales increase in every single region during the first three months of 2023, delivering a total of 80,767 vehicles during the period. Interestingly, SUV models were the most popular among its consumers.
Mercedes Benz also saw a 3% YoY rise during the first three months of the year as it delivered 191,000 vehicles.
Electric SUVs Are Coming
While Tesla is taking the time with its futuristic Cybertruck with most recent news revealing that production is due to start in the summer with production volume to be achieved sometime next year, its Chinese rival XPeng unveiled a quick charging SUV last week. Pitched as the dream car for younger generations, the new G6 SUV, promises to bring Tesla a headache with its impressive range, speeds and design features.
General Motors Is The Tax Incentive Winner In The U.S.
On the new Inflation Reduction Act, General Motors (NYSE: GM) is the winner when it comes to having the most electric vehicle models eligible for tax credit that allows EV buyers to get back up to $7,500 back, that is actually made from two separate credits, worth $3,750 each. The qualifying factors revolve around battery components being made in the U.S. and a certain percentage of minerals used for those components to be mined or processed in the U.S. Therefore, some EVs could qualify for one or both- or none whatsoever. Tesla’s Model Y (AWD, Long Range AWD and 2022 Performance) and Model 3 (Performance) qualify for both while General Motors undoubtedly leading the list with Cadillac Lyriq, Chevrolet Silverado EV, Chevrolet Bolt, Chevrolet Bolt EUV, Chevrolet Blazer EV and Chevrolet Equinox EV. By the looks of it, General Motors’ commitment to invest $35 billion in its electric transformation by 2035 is already starting to pay off. Detroit’s remaining two automakers are also on the list, with Ford Motors (NYSE: F) entering the list thanks to its electric version of America’s most beloved pickup, the F-150 (the Lightning) and Stellantis (NYSE: STLA) Chrysler Pacifica PHEV.
All in all, the recent developments indicate that Tesla might soon find itself in a pickle competition-wise.
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This article Tesla’s Ruling Of The EV Kingdom Is Being Challenged originally appeared on Benzinga.com
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