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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Julius Wong who wrote (164683)	11/3/2020 8:21:33 PM
From: TobagoJack	Read Replies (2) \| Respond to of 217808

The Team China company TSLA chastised for being arrogant Making TSLA safer to short even as it rises to a higher ledge for the shove zerohedge.com China State-Owned News Calls Tesla "Unreasonable And Arrogant" In Handling Model S & X Recalls Could the love affair between Tesla and the Chinese Communist Party be drifting toward an unceremonious end? From the looks of an editorial published in Xinhua on Tuesday, that could very well be the call. The country's state owned news agency called Tesla "unreasonable and arrogant" in an article published on Tuesday that addressed Tesla's recall of 30,000 imported Model S and Model X vehicles in the country. “The automaker refused to acknowledge its defect outside China while taking the recall in the market, blaming the user behavior and pressure from regulatory bodies. Tesla needs to learn first to abide by the local regulations and protect legitimate rights of the car owners,” the editorial said, according to Bloomberg. Recall, it was about a week ago we first highlighted a massive recall Tesla had to undergo in China due to lingering, years old questions about the safety of Model S and Model X suspensions. From a collection of suspension issues on InsideEVsSuspension issues are one of the oldest ongoing critiques involving Tesla's manufacturing (before Musk shattered Cybertruck windows live on stage, before Model 3s had dirt collect in their bumper and before Model Ys saw their roofs fly off). Legacy complaints involving suspensions on vehciles date back years, to Tesla's original run of Model S vehicles. And what the NHTSA was too blind to see, the Chinese clearly noticed. That's why Tesla was forced into a recall of 30,000 Model S and Model X vehicles made for the Chinese market over suspension issues to begin with. The issue was due to "a weakness in the Model S and Model X suspension that can lead to a cracked linkage after an impact." We used the term "forced" into the recall because it didn't appear as though Tesla was "on board" with it. In fact, according to Bloomberg, Tesla found "no defect with its Model S/Model X suspension and [said] that China is basically forcing an unnecessary recall". Despite the recall supposedly being over nothing, Tesla “decided not to dispute a recall for the China market only,” the company's managing counsel wrote to the NHTSA in a letter from early September. The same letter indicated that the NHTSA knew about the Chinese recall since the beginning of September - though we're not sure why anybody would expect the NHTSA, who has sat idly by and watched one fatal wreck after another involving Teslas, to do anything about it. Recall, as far back as 2016, we were reporting about an investigation into the suspension of Tesla vehicles. A major lingering question is whether the Chinese recall could prompt a similar recall - that would likely affect over 200,000 vehicles - in the U.S. Far be it for us to tell the U.S. government that China is setting the example, but when dealing with matters of automobile safety and not accepting petulance and nonsense from manchild Elon Musk, China is drawing a nice roadmap. Now, if someone would just wake the NHTSA from their coma...

To: Julius Wong who wrote (164683)	11/4/2020 3:38:26 AM
From: TobagoJack	Respond to of 217808

I may have sold my NIO calls too early zerohedge.com New Energy Vehicles Will Be 20% Of China's Total New Car Sales By 2025 The boom in EV stocks may not be stopping anytime soon. Recent momentum in names like Kandi Technologies, Nio, Tesla, Fisker and other electric vehicle names - already fueled by states like California vowing to ban internal combustion engine vehicles - could see a continued tailwind from the world's largest auto market, China. Sales of new energy vehicles are going to make up 20% of the country's total new auto sales by the year 2025, China's State Council estimated early this week. The "new energy" category includes battery electric, plug-in hybrid and hydrogen fuel-cell vehicles. Sales will rise as the country's "NEV industry has improved their technology and competitiveness," according to a new policy paper reviewed by Reuters. In the country's 5 year plan to 2025, the State Council has pushed for improvements in EV technologies, building more efficient charging and implementing battery swapping networks. The Chinese government will also adopt quotas and incentives to to "guide automakers" (i.e. force them) to make EVs after Federal subsidies end in two years. The government is also looking at ways to implement EVs for public uses, commercial use and mass transit. While the country's new outlook is slightly lower than the 25% goal it set for itself in a policy proposal published by China’s Ministry of Industry and Information Technology last year, it would still mark a significant expansion in the world's largest auto market. Recall, we noted at the beginning of September that most Chinese EV startups were being backed and bailed out by the Chinese state during the pandemic. This report was just weeks after we reported that many EV manufacturers in the super-saturated Chinese market were going public as a means to avoid bankruptcy. For example, when NIO was under tremendous financial pressure just months ago, it was the municipal government of Hefei that stepped in to bail the company out by investing $1 billion in cash for a 24.1% stake in the company's China's entity - and getting the company to relocate its headquarters to its province. Hefei has "hopes of creating a powerful rival to Tesla," according to Nikkei. Similarly, other local governments have stepped into help China's young EV names. Not unlike Elon Musk's Tesla, China's Nio, Xpeng Motors, Li Auto and WM Motor have also all relied on taxpayer/state money to push their visions forward. Earlier this year, we wrote about the successful IPO of Li Auto on the U.S. markets. It "received investments from several entities backed by municipal governments of Changzhou and Xiamen as well as state-run investment bank China International Capital Corporation." Additionally, we reported earlier this year ago that competition in China's EV market is already starting to become super-saturated.