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SageBrush
REJECT Fascism
I think a more pertinent question is whether Tesla survives the election cycle. I'm not feeling optimistic but I hope to be proven wrong.
Tesla is taking measures right now that look very much like they will use the 2000€ ($2200) federal subsidy for EVs in Germany soon.
Germany tailored the law to exclude vehicles where the base model costs more than 60,000€ (excl. VAT) from the subsidy, i.e. to make sure Tesla can't use the "Umweltbonus". Now Tesla introduced a "comfort package" for the German market. It's 5200€ and includes comfort features like navigation, homelink and some other very basic software features. The base price has been lowered accordingly.
So now there's a base model for less than 60,000€. Of course, most buyers will probably order the "comfort package". (If I were Tesla, I'd enable supercharging for comfort package cars only, but it seems like supercharging is included even with the very cheap base model.)
The only thing we need now is a discount of 2000€ listed on the invoice. Then Model S buyers in Germany could hand in that invoice in order to get another 2000€ taxpayer money sent to them.
Well played, Tesla!
Germany tailored the law to exclude vehicles where the base model costs more than 60,000€ (excl. VAT) from the subsidy, i.e. to make sure Tesla can't use the "Umweltbonus". Now Tesla introduced a "comfort package" for the German market. It's 5200€ and includes comfort features like navigation, homelink and some other very basic software features. The base price has been lowered accordingly.
So now there's a base model for less than 60,000€. Of course, most buyers will probably order the "comfort package". (If I were Tesla, I'd enable supercharging for comfort package cars only, but it seems like supercharging is included even with the very cheap base model.)
The only thing we need now is a discount of 2000€ listed on the invoice. Then Model S buyers in Germany could hand in that invoice in order to get another 2000€ taxpayer money sent to them.
Well played, Tesla!
Remember Tesla survived the great recession. I doubt a Republic administration will work that hard to kill one American manufacturing company. It may slow down some expansion in solar, but those types of moves are often more local than federal. Remember it was a Republican Governor that cut a deal with Tesla for the Gigafactory. So ultimately I am not worried that this election cycle will kill Tesla.
As horrified as I am by the prospect of a Trump presidency, I'm not so certain the tax credit will get axed. Republicans are supposed to be pro-business after all, and pulling the rug out from automakers after they've spent billions on R&D bringing EVs to market with the expectation that the tax credit would be there would be very unfair. (And it's not like they have to allocate any new money to keep it funded. It's already written into law.)
But who knows at this point. Most people who thought they could predict the future yesterday are eating crow today.
But who knows at this point. Most people who thought they could predict the future yesterday are eating crow today.
Trump is going to be the best thing that ever happened to Tesla, from the government anyway.
That's very interesting, because they could do a similar thing in two Canadian provinces. BC and Ontario reduced or eliminated rebates on cars whose base price is over $75,000. Currently, this can lead to perverse situations where a loaded $92,000 BMW x5 edrive qualifies for $8,777 off, but an $84,800 (including referral discount) S60 only gets $3,000. If they could drop the price by $9,800 the rebate would balloon to S14,000.
Guys- Trump is going to have little effect on Tesla. If anything his USA first attitude will help sell more Tesla cars. And all those Michigan Union workers that voted for Trump, will get what they deserve.... A big nice piece of German machinery doing their job.
deonb
Active Member
Tesla exports more large luxury vehicles than Mercedes / BMW / Audi / Lexus imports. It's 50% of Tesla's revenue.
Model 3 exports would likely exceed direct imports of all other $35k+ vehicles.
So, no, a USA first policy (which is about imports, but which will ensure reciprocal export trade retaliation), is not good for Tesla.
It much more favors GM where exports make up a tiny fraction of their revenue.
Given the nature of Tesla's markets, I think that the key risk areas would be tariffs on the components, rather than the cars themselves.
So we all knew Obama was a great supporter of the EVs and the overall health other climate...but now that Trump as won the Presidency - and the Republicans pretty much control the congress -- what does that mean for the 7500 federal tax credit?
As per my knowledge - Trump does not believe in global warming...i mean the best thing Tesla has for it - is MADE IN USA...
Thoughts? Concerns?
As per my knowledge - Trump does not believe in global warming...i mean the best thing Tesla has for it - is MADE IN USA...
Thoughts? Concerns?
deonb
Active Member
I don't think anybody can have any idea what this means for Tesla. I don't think anybody, Trump included, has the foggiest clue what his policies will be on pretty much anything. I genuinely think that the didn't give the whole mess any serious thought.
The whole bit about global warming being a Chinese hoax is a bit worrisome.
I do credit Elon for keeping his mouth shut throughout this whole freak show. He has employees and shareholders to worry about and the last thing that he needs is a vengeful Trump looking to take him down a few notches.
The whole bit about global warming being a Chinese hoax is a bit worrisome.
I do credit Elon for keeping his mouth shut throughout this whole freak show. He has employees and shareholders to worry about and the last thing that he needs is a vengeful Trump looking to take him down a few notches.
Ah, I see the oxymoron you pulled off there, using "Trump" and "serious thought" in the same sentence. Nicely done.
Tesla will continue. Solar energy expansion I am not as optimistic about.
bkp_duke
Well-Known Member
As it should be. It was designed to be a short-term stimulus to spur the industry. By most measures, the industry has been spurred and we should let good old fashioned economic forces take hold. EVs can compete, and win, Tesla has shown us that by now.
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