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Not fundamentally, they aren’t. Tesla and a few Chinese companies are making very good money on EVs.
by epgui 3y ago
Not fundamentally, they aren’t. Tesla and a few Chinese companies are making very good money on EVs.
- linksnapzz 3y agoTesla nor the Chinese have been doing business with the UAW for 50+ years; nor do they sit in the same regard with stock analysts as the detroit companies.
- kjksf 3y agoThose points are neither here nor there. Tesla has pretty much the best margin in car industry, even when comparing their pure EV production to traditional ICE cars. Pretty much all other companies, including Ford, loose money on EVs. Some loose more than others. The difference between Ford pay and Tesla pay is not even close to explain the profitability gap. It's more about Tesla making way more cars and therefore paying less for components and batteries and raw materials. It's about Tesla working on batteries for many years and jumping quickly on newer, cheaper batteries from CATL and BYD. It's about their cars being more efficient and therefore needing smaller (and cheaper) batteries. It's about vertical integration. It's about manufacturing advances like giga casting.