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You may not be thinking it through all the way. Every in-house EV that a company like GM produces can be considered as absorbing one regulatory credit that GM w
by totalZero 6y ago
You may not be thinking it through all the way. Every in-house EV that a company like GM produces can be considered as absorbing one regulatory credit that GM would otherwise have to buy in the open market (eg, from Tesla). The competing car makers won't have to buy Tesla's regulatory credits, even if their EVs are no more profitable than those of Tesla.
- est31 6y agoThat's what I meant. Tesla is not the only company that can build EV cars. Eventually they have to compete. They have non traditional approaches to some things, and in that regard they might be able to build EV cars more cheaply than competitors, and it probably also helps that they have lots of experience now, but eventually the fact that the cars are electric won't be the killer feature any more.
- totalZero 6y agoWell I certainly agree with this. Earlier you said that credits are always going to be a part of the market, and that's just not gonna be the case when all of Tesla's regulatory credit buyers make their own cars (and thus their own credits). To qualify that a bit, you may have the credits but you won't have credit trading.