Tesla Motors is in the news again this week. Here are the three developments you need to know about the electric-car maker.
3 Things You Must Know About Tesla Motors This Week
1. New Chinese rule could boost sales China mandated that EVs make up at least 30% of government vehicle purchases by 2016. Authorities also waived the 10% purchase tax on both domestic and imported (Tesla) EVs. Tesla plans to have 10 to 12 stores in China by years end. Chinese authorities gave consumers more reasons to buy a Tesla. Customers learn about the Model S in a Tesla showroom. Source: Tesla Motors.
China is critical to Teslas long-term success As part of the new plan, government organizations and public institutions in China will also be required to add ample EV parking and charging capabilities. Chinas new rules are meant to incentivize electric vehicle adoption in hopes of eventually curbing the countrys hazardous smog conditions. This is exciting news for Tesla because it should energize sales volume in this key market.
2. Tesla wins approval to sell cars in Pennsylvania Pennsylvanias legislature voted to allow Tesla to sell its cars directly to consumers in the state. Tesla will be allowed to open five stores there. Tesla currently has 56 stores in the U.S. and Canada. Tesla is currently allowed to sell its cars in 22 states. Model S drivers line up in front of Missouri capital to support Teslas direct sales model. Source: Tesla Motors.
Tesla goes to battle: state by state Teslas success in Pennsylvania is one small step in a much bigger battle, but its encouraging nonetheless. The picture in the previous slide was actually taken at the Missouri capital, where Model S owners came out to support direct sales in the state. Tesla hopes that its recent success in Pennsylvania will trickle into other states such as Missouri, where Tesla is getting bullied by auto dealer groups. Unfortunately, Tesla didnt get any love from the White House this week in regards to its state by state dealership wars. Instead, the White House passed the buck to congress.
3. Teslas third-generation EV is named Teslas third- generation EV will be its most affordable car yet, at around $35,000. Deliveries of the Model III are set to begin in 2017. Meet the Tesla Model III A Model S at Teslas factory in California. Source: Tesla Motors.
Whats in a name? Teslas chief executive, Elon Musk, had originally hoped to name the companys third-generation car the Model E. However, Ford pushed back, claiming it owned the rights to the name. Musk, as a result, settled on the moniker Model 3. The new model is going to be called Model 3, well have three bars to represent it and itll be S III X, Musk said in a recent interview with Auto Express. The Model 3 is critical to Teslas long-term success because it will be the EV makers first mass-market vehicle.
Looking down the road While all three of this weeks developments are exciting, the new rules in China hold the most promise for Teslas continued success. Model S cars lined up outside of the World Economic Forum in Davos, Switzerland. Source: Tesla Motors.
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