The German carmaker reported its Q3 Earnings this week and said that it would remain committed to its plans and goals for the EV side of its business, but that it would bolster earnings with better returns from its gas car portfolio because it has not been able to increase margins as it previously planned.

“This is a pretty brutal space,” CEO Harald Wilhelm said on the call. “I can hardly imagine the current status quo is fully sustainable for everybody.”

He was right. Ford delayed a $12 billion EV investment due to various macroeconomic factors during its Earnings Call this week, and other brands have struggled to get even close to profitability because they have not been able to scale production to a point where losses per vehicle are sustainable.

Mercedes-Benz launches EQS orders: €100k+ price, US deliveries in Q4

Mercedes-Benz chose to offer some discounts on EV models in Germany, but Wilhelm said this would not represent the brand’s overall strategy regarding EVs and trimming its losses, according to Reuters.

Earlier this year, as Tesla trimmed prices and other automakers decided to do the same to keep up with the automaker’s price points, Mercedes-Benz resisted the idea to do so. It couldn’t afford to trim prices just to get vehicles out the door. Instead, it maintained its pricing strategy.

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In September, we reported on a potential probe from the EU that would investigate several brands that export vehicles from China to Europe to judge the fairness of subsidies granted by European countries.

EU officials started to question whether Tesla and other automakers that export from China are receiving unfair advantages in terms of subsidies provided to those vehicles.

Tesla among brands likely subject to EU subsidy probe to judge fairness of China imports

EU Executive VP Valdis Dombrovskis said regarding the probe:

“Strictly speaking, it’s not limited only to Chinese brand electrical vehicles, it can be also other producers’ vehicles if they are receiving production-side subsidies.”

Dombrovskis went on to say that the EU is open to competition, but it needed to be fair. Large markets have already introduced tariffs on batteries and EVs from China, and the EU was considering the same strategy.

While the EU will still investigate several brands, Tesla is not one of them, the South China Morning Post reported.

Instead, the report states BYD, SAIC Motor, and Geely will be investigated for potential foul play in EU subsidies.

The complaint about the subsidies comes from EU Chief Ursula von der Leyen, who said a “flood” of Chinese EVs was “distorting” the European market.

If the initial probe into BYD, SAIC, and Geely ends up showing evidence of subsidy distortion that would enable unfair competition, Tesla, along with other companies that have vehicles made in China and sent to Europe, could end up being added to the investigation.

Roughly one-fifth of EVs sold in Europe are built in China.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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Tesla has been expanding its footprint on a global scale for several years, with the most recent pieces of evidence being its Gigafactories in China, Germany, and Mexico. The automaker has also launched its vehicles in several new markets over the past few years, bringing EVs to new countries.

However, only a few regions are in the running for potential investment from Tesla, whether it be for vehicle production or other operations, and Indonesia is one country that has been widely regarded as one of the biggest potential players for a facility from the electric automaker.

Indonesia’s President Joko Widodo has been adamant for some time now on Tesla investing in his country. While Tesla just recently announced a new Gigafactory in 2023, which landed in Nuevo Leon, Mexico, CEO Elon Musk also said earlier this year that the company could potentially reveal another new location for investment this year.

Tesla’s potential investment in Indonesia gets vote of confidence from President Jokowi

However, the possibility of that seems relatively slim after Musk’s comments on Tesla’s most recent Earnings Call, where he spoke extensively regarding unfavorable macroeconomic conditions (via The Motley Fool):

“I’m not saying things will be bad. I’m just saying they might be. And I think like Tesla is an incredibly capable ship, but we need to make sure like as — if the macroeconomic conditions are stormy, even if the best ship is still going to have tough times.”

Musk also stated that Tesla would slow down its development of the Mexico factory:

“…in Mexico, we’re laying the groundwork to begin construction and doing all the long lead items, but I think we want to just get a sense for the global economy is like before we go full tilt on the Mexico factory. I am worried about the high interest rate environment that we’re in.”

Nevertheless, Widodo believes Tesla will still be investing in Indonesia based on recent talks he has held with the company’s brass. In an interview with Bloomberg, Widodo held out hopes that Tesla could still invest as he states Musk is still in talks with his government:

“Indonesia is still communicating with Tesla. We continue to communicate with Elon Musk. Yes, we’re still talking to Elon Musk.”

Widodo went on to talk about other companies that have already committed to Indonesian investments:

“But not only with Tesla. Now, the investors that have come include Hyundai. Next year, they will start producing electric vehicles that are made with entirely locally-sourced components. There is also BYD that wants to enter.”

Of course, Tesla has also held talks with India for the better part of a decade, but terms of an agreement have yet to be established as the automaker has been hoping to test demand through imports from China. The Indian government is not keen on the idea unless Tesla commits to building a factory first.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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Ford’s electric vehicle sales are growing, and so are the sales of other automakers that are competing in the EV sector. The pace of the company’s EV sales, however, does not appear to be growing at the rate that Ford has projected. 

In Ford’s Q3 2023 earnings report, the company stated that its Model e electric vehicle unit lost $1.3 billion on an operating basis in Q3, which was double its year-ago loss. The EV unit also lost $3.1 billion through the first three quarters of this year, which was roughly in line with the company’s $4.5 billion full-year operating loss estimate.

Despite these circumstances, Ford executives have maintained that they are not cutting back on spending on future EV models. If any, the recent results and the EV market’s current state would result in Ford moving through its electric vehicle plans in a more gradual manner. Ford CFO John Lawler described the company’s plans in a media briefing on Thursday. 

“We’re not moving away from our second-generation EV products. We are, though, looking at the pace of capacity that we’re putting in place. We are going to push out some of that investment,” he said. 

Part of the company’s revamped electric vehicle strategy is the postponement of about $12 billion in planned spending on EV manufacturing capacity. These include a tentative second battery plant at a new campus in Kentucky. The executive, however, also noted that the construction of Blue Oval City will be continuing forward. 

“The customer is going to decide what the volumes are. Ford is able to balance production of gas, hybrid, and electric vehicles to match the speed of EV adoption in a way that others can’t,” Lawler said.

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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VW delivered 531,500 EVs in the first nine months of the year, making up 7.9% of deliveries. In the third quarter, 9.0% of Volkswagen’s deliveries were electric vehicles. The German automaker aims to have electric vehicles make up 8% to 10% of total deliveries yearly. 

“From January to September, Europe remained the main BEV growth driver, with an increase of 61 percent to 341,100 vehicles. In the U.S., BEV deliveries rose by 74 percent to 50,300 units, and in China, they exceeded the previous year’s level with an increase of 4 percent to 117,100 units,” reported Volkswagen. 

Volkswagen’s Battery Electric EV Portfolio

The German automaker just opened the order banks for the all-electric ID.7, which was already voted “German Car of the Year 2024. Volkswagen also launched pre-sales for the upgraded ID.4 and ID.5 electric models. 

Volkswagen’s Ionway Joint Venture

VW also announced more details about Ionway—a joint venture between Volkswagen’s battery maker PowerCo and Belgian materials company Umicore. PowerCo and Umicore announced the location of their cathode material manufacturing plant in Nysa, Poland.

The joint venture aims to produce cathode and precursor materials for battery electric vehicle (BEV) production at an annual capacity of 160 GWh. PowerCo and Umicore’s plant will produce enough materials to support the production of 2.2 million BEVs. The NYSA plant will produce cathode materials for PowerCo’s cell factory in Salzgitter. It is expected to start production by 2025.

Volkswagen reported an operating profit decrease of 7% to €16.2 billion with an operating return on sales of 6.9%. It also reported a net cash flow of €4.9 billion in the first nine months of 2023, with a total of €2.5 billion in the third quarter alone. 

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On Tuesday, October 24, Tesla and IF Metall held a meeting in the presence of mediators from the Mediation Institution. According to IF Metall’s contract secretary Veli-Pekka Säikkälä, Tesla stood by its decision not to sign a collective agreement.

“Therefore, we are not extending our notice to appeal to additional workers associated with Tesla’s vehicles around the country,” stated Säikkälä.

“The main reason for IF Metall to take industrial action at Tesla is to ensure that our members have decent and safe working conditions. Over a long period of time, we have attempted to discuss with Tesla the signing of a collective agreement, yet without success. Now we see no solution other than to take industrial action,” IF Metall said in a public statement.

Collective agreements are the foundation of the labor market in Sweden. In the European country, state governments and politicians do not interfere with the labor market, leaving trade unions and employers to determine the rules. Collective agreements include parameters for wages, form of employment, occupational pension, working hours, vacations, and periods of notice.

On Friday, October 27, Tesla mechanics who are part of the IF Metall union will walk off the job if the company does not sign a collective agreement. 120 Tesla mechanics at seven workshops across Sweden will join the strike on Friday.

“This conflict is about our members’ wages, pensions, and insurances. And in the end it is about the playing rules on the Swedish labor market,” said the head of IF Metall’s collective agreements, Veli-Pekka Saikkala.

The Detroit 3–Ford, General Motors, and Stellantis–are all facing similar challenges with the United Auto Workers (UAW) union in the United States. Recently, Ford and the UAW announced reaching a tentative agreement, which is currently being assessed by the union.

The Teslarati team would appreciate hearing from you. If you have any tips, contact me at maria@teslarati.com or via X @Writer_01001101.

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The update to the Model Y’s price was observed by members of the online electric vehicle community on Thursday night. The Model Y Long Range’s new price also came around the same time as the launch of Stealth Gray as a free paint option for the Model S and Model X. Similar to other Model S and Model X colors, Stealth Gray paint is free with every order of the flagship electric vehicles. 

Following the update to the price of the Model Y Long Range, the all-electric crossover now costs $43,990 for the Rear Wheel Drive version, $48,990 for the Long Range Dual Motor All Wheel Drive, and $52,490 for the Model Y Performance in the US. Estimated delivery dates for Model Y Long Range orders in the United States are currently listed at October to November 2023. 

Over in China, Tesla also rolled out an adjustment for the Model Y. The price change, however, was implemented for the Model Y Performance instead. As could be seen in the Tesla Model Y order page in China, the Model Y Performance now costs RMB 363,900 (about $49,700), which is RMB 14,000 (around $1,900) more than its previous cost of RMB 349,900 (about $47,800). The Giga Shanghai-made Model Y Peformance is currently listed with an estimated delivery date of 2-6 weeks. 

The minor price increase to the Model Y that’s recently been implemented has been received warmly by Tesla advocates on social media platforms such as Twitter. Price increases, after all, could be a hint that the demand for the Model Y is increasing. The Model Y’s high demand should not be surprising, of course, considering that the vehicle is currently Tesla’s strongest seller, even becoming the world’s best-selling car in Q1 2023. 

The Model Y’s strength in the market could be hinted at by the fact that the vehicle became Europe’s best-selling car in September. With this feat under its belt, the Model Y has effectively secured the title six times this 2023 so far. 

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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This is the second new color Tesla has launched for the Model S and Model X in 2023, with the other being “Ultra Red,” which was added while Red Multicoat was removed.

Tesla has subsequently removed Midnight Grey for the Model S and Model X. Both Deep Red Multicoat and Midnight Grey are still available for the Model 3 and Model Y.

It is available for no additional charge.

The Stealth Grey is available in various markets, including the North American and Asian markets. Tesla European Design Studio is still currently showing Midnight Silver Metallic and not Stealth Grey.

Stealth Grey is already offered in Gigafactory Shanghai on the Model 3, and has been spotted on several vehicles en route to their destination.

Tesla 신규 외장 컬러 Stealth Grey 출시

Model S 및 Model X의 신규 컬러가 출시 됐습니다.
고급스러우면서도 세련된 Stealth Grey를 만나보세요.https://t.co/HPvUe1BaTU pic.twitter.com/BtvX3qmYNO

— Tesla Korea (@OfficialTeslakr) October 27, 2023

Tesla has offered different colors in different markets depending on the paint shop that operates at the factory the vehicle is coming from. For example, Midnight Cherry Red and Quicksilver are two colors that are only available at Tesla’s Gigafactory Berlin production facility in Germany and are only available on the Model Y.

CEO Elon Musk has said that these colors are only possible in Germany due to the Berlin plant’s world-class paint shop.

Stealth Grey joins Pearl White Multi-Coat, Solid Black, Deep Blue Metallic, and Ultra Red as colors available for the Model S and Model X.

What do you think about the new color? I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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After Tesla launched the Model 3+ several months ago, deliveries officially began earlier this month. This ended months of speculation on when the automaker would finally hand over the newly-improved Model 3 to customers.

Deliveries had already started in other countries as early as mid-October. Countries in Europe and the Middle East have already seen several Highland Model 3 units make their way to customers. The Netherlands is now the next country to mark deliveries for the new Model 3.

Just picked up my Tesla Model 3 Highland!!!

One of the first in the Netherlands #Tesla #Model3 #Highland pic.twitter.com/67qnkB2R9p

— Fabian Ebert (@Fabian10O) October 26, 2023

Tesla updated several exterior and interior designs and features for the new Model 3, ramping up production late last month at Gigafactory Shanghai, where the car is currently produced.

The first delivery in Europe occurred in Germany, but Tesla has been spreading the new Model 3 around to various countries on the continent, including France and Poland.

However, a tsunami of Model 3 Highland deliveries is overtaking the European market as Tesla has been exporting the vehicles from China to Europe.

A Tesla Model 3 Highland tsunami is starting in European markets

The new Model 3 arrived just in time for Q4, as Tesla is working toward its lofty goal of reaching 1.8 million vehicle deliveries for 2023. With deliveries beginning in the Eastern Hemisphere already, the Model 3 Highland is sure to help bring Tesla closer to its goal for the year.

The Netherlands was one of the last countries where we saw Model 3 Highland testing going on before the vehicle was launched. A Teslarati reader sent us photographs of a Model 3 Highland driving on highways near local Tesla Service Centers and Showrooms in the Netherlands.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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GM’s Ultium project will enable a new platform of EVs for the legacy automaker, bringing a software-based offensive to one of the United States’ best-selling car companies and a major player in the EV sector.

Although GM and other Detroit automakers like Ford have not been able to keep pace with U.S. market share leader Tesla, the companies are on the fast track to developing competitive EVs under their own tutelage.

Ultium is GM’s plan for EV development in the sector, and the company has been producing Ultium cells at another plant in Warren, Ohio.

GM Authority noted that the automaker is also planning to bump up starting wages for production operators and quality inspectors at the Spring Hill plant.

GM has been one of several automakers in tense negotiations with the UAW, attempting to come to terms over a new contract that would increase pay and benefits for unionized workers.

GM’s largest plant becomes latest target of UAW strike

Ford finally came to an agreement with the UAW last night, ending weeks of work stoppages.

GM’s Spring Hill plant is expected to come online in early 2024, ramping up the availability of Ultium cells that will be available for EVs that will operate under the platform.

The Ultium cells will increase affordability, enable faster charging times, and increase vehicle longevity. Seven current GM models are utilizing Ultium cells:

• GMC Hummer EV
• BrightDrop Zevo 600 van
• Chevrolet Silverado EV
• Chevrolet Blazer EV
• Cadillac Lyriq
• Buick Electra E5
• Buick Electra E4

Additionally, future vehicles, including the Equinox EV, Honda Prologue, Escalade IQ, the next Chevrolet Bolt, and the ultra-luxurious Cadillac Celestiq are among several models that will operate under the Ultium platform.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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