Chinese Automakers Are Major Challengers in The EV Industry Says Elon Musk

Tesla CEO Elon Musk has revealed that Chinese automakers are major challengers in the EV industry.

Musk, while speaking on Tesla’s earnings call on Wednesday, revealed that due to how smart and hard the Chinese work, their EV vehicles will no doubt be the closest competitor to Tesla.

In his words,

“We have a lot of respect for the car companies in China. They are the most competitive in the world. They work the hardest and they work the smartest. So lots of respect for China car companies that we’re competing against.

“And so, if I were to guess, probably some company out of China is the most likely to be second to Tesla”.

Musk further disclosed that the Tesla team is winning in China, noting that the company has been able to attract the best talent in China.

It would be recalled that in 2021, Musk disclosed that the Chinese workers had been burning the 3 a.m oil to keep Tesla’s factories running during the covid lockdowns in 2022.

Notable for their hard and smart work, this has prompted Tesla to recently promote its Chinese Chief Tom Zhu, to run its U.S factories and Sales in North America and Europe.

Investors King understands that China is Tesla’s second-largest market, which accounted for about two-thirds of all its electric vehicle sales globally in 2022 and the home of Tesla’s biggest plant.

Due to heavy competition and slowing demand, the automaker is facing in the country, it has slashed the prices of its vehicles in less than three months, in an effort to boost sales amidst slowing demand in the world’s largest car market. Tesla slashed prices for all versions of its China Model 3 and Model Y.

Meanwhile, EV competition is increasing domestically in China, as demand for EVs in the country is huge, witnessing a record of 6 million cars sold in 2021, accounting for over a quarter of new vehicle sales.