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Quora on Tesla

E55BOF

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I happened on this piece on the Quora website:

Profile photo for Rob Gallagher

Is Teslas sale going down in Europe fast?
Yes. But it isn’t for the reasons that CNN tells you.

My Dad’s closest friend is an immigrant from Germany. His cousin is named Christian and lives near Munich. He works for a company that manufactures and tests auto parts. He tests parts and is part of a team that evaluates and approves auto parts. He gets paid to drive for four hours in the Bavarian Alps testing car parts. He also sounds exactly like Arnold Schwarzenegger, which I absolutely love.

Anyway.

A couple weeks ago I had a chance to talk to him (remotely). While we were chatting I asked him about why Tesla sales are down in Europe.

He gave me a long answer. Like 10 minute explanation.

He never once mentioned Musk.

See here is the thing: Tesla’s are shit cars. And they’re expensive shit cars. He knows this because he makes car parts that end up in BMWs, VWs, and a few Renaults. He sent me this article and blog. Both are dated December 2023.

https://www.reuters.com/investigates/special-report/tesla-musk-steering-suspension/
You're Supposed To Be Glad Your Tesla Is A Brittle Heap Of Junk | Defector

Read these articles. These are not one offs or a failed part. These are systemic problems with the cars.

And Christian told me that in Germany they sell for 60,000+ Euros.

BMW’s I5 was launched last summer. It is similarly priced, but unlike Teslas the wheels don’t fall off when you’re doing 180 on the autobahn. Most Germans see this is a rather important feature of their BMW.

VW has hybrids that sell for less than half of what Teslas do. And their axels can actually support the weight of the cars in question.

So Germans can support a German made car, spend less, and feel secure that their car door won’t fall off while they’re going 150 on the autobahn. All three of these are key selling points.

And in case you think I’m being flippant. All three of the issues are actually reported in the articles I posted.

Spontaneous combustion is also something BMWs are not famous for.

Tesla Fire: Digital record of Tesla fire incidents

This is only the first issue.

Teslas have almost zero resale value. A Tesla bought for 70,000 Euros in 2020 will get less than 10,000 as a trade in item. That car loses 15,000 Euros a year in value.

In general EV cars suffer on the used car market because of the cost of replacing the battery, but Teslas are almost worthless after 5 years because you have the battery issue and the wheels falling off issue.

That is a major consideration for people.

He also pointed out (anecdotally now) that because of these issues Teslas fill up junkyards faster than any other cars, and their batteries are an environmental nightmare. He is of the opinion that Tesla is simply trading one kind of environmental damage for another, though that is just his opinion.

Though anecdotal, a quick google search tells me he is probably right about some of this. From January 2023:

Hundreds of Brand New Teslas Piling Up in Junk Yards

and from earlier this year, and from a more official source.

Brand-New Teslas Are Showing Up in Junkyards

They break down a lot, are prohibitively expensive to repair, and have no resale value. So people scrap them with less than 10,000 miles/16,000 kms on them.

After he explained this all to me he told me that this is fairly common knowledge in Germany and Austria, and assumed it was fairly common knowledge elsewhere in Europe. He pointed out that Germans have never liked American cars anyway. Too big and too cheaply made. Teslas are the living stereotype.

This is a man who has driven every German car made in the last 50 years. Seriously, he has taken a Trabant for a test push. He has also driven most European and Japanese cars, and a few American ones.

He flat out said that Teslas were in the bottom five of any cars he has driven, and he has driven several models of them. But he did concede that Trabants were worse. So I guess Teslas have that going for them.

Though I might suggest that they will ultimately belch out the same amount of smoke. Teslas just do it all in one go.

That was his explanation.

After he finished explaining this to me I did ask about Musks’ politics. I asked him what effect he thought the Nazi salute and the AfD interviews had.

He smiled and said “it didn’t help.”

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In general EV cars suffer on the used car market because of the cost of replacing the battery, but Teslas are almost worthless after 5 years because you have the battery issue and the wheels falling off issue.

That's a lot of tosh, not supported by the facts.

In any event... Tesla have been making EVs for nearly 15 years now, they have so far produced 5 different model, and a total of nearly 2m cars, and by some remarkable coincidence, the buying public only happened to discover that they sh!te cars in the same year thar Musk joined forced with Trump, and the Chinese are flooding the market with cheap EVs... yeah right :D
 
IMvHO, ze German is closer to the truth than the frenzied Democrat failures.

Both the Economist and the BBC have run similar articles during the course of this month.

Tesla does have its place in the world but @Markjay’s Team Korea, Team China AND both BMW, VW and Renault are chasing Tesla’s first mover advantage.

Detailed, balanced reviews of the updated Tesla Y are available on Autogeful, Autocar and so on.

The a Tesla share price needs to come down. It’s still three times the market cap of the entire German car industry and that makes no sense at all.

90% of Tesla shares are in the hands of Pensions and investment funds, so it’s a joy to watch Democrat activists talking down the (overpriced) shares in their own pensions and savings.

Stupid is as Stupid does.
 



 
It's worth noting that Tesla's market cap is based on the firm being considered a tech company, and not a car manufacturer.

(As has been explained to me by a investment banker friend).

Tesla's IPR is the BMS and the FSD (among other things), not their experience with building crap cars.

Markets do not like manufacturing, it's considered a 'dirty' industry relying on complex supply chains, large unionised workforce, and low margins.

This applies to GM, Ford, and Chrysler, as well as to Kia/Hyunday.

If someone takes over Tesla... their next logical step will likely be to stop building cars and license their tech to other car manufacturers - and this potential future enterprise is the root cause of the high market cap.
 
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