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Considering we need more jobs and way more manufacturing in America. I would rather see everything built in the United States. At least everything we use.
I believe it is actually pronounced aqua fer. aqui•fer aqui-fer | 'äkwafer, 'akwafar | noun a body of permeable rock which can contain or transmit groundwater. ORIGIN early 20th century: from Latin aqui- (from aqua 'water') + -fer 'bearing'.
@@FEEL-X93 I'm not interested in following you into likely financial ruin. Short it if you want. Offering financial advice to people on TH-cam is not intelligent.
@@FEEL-X93 Ok. It was just my observation and opinion. No other factory area is being announced to replace the proposed Mexico plant. I see the reduced car sales and the cancelled/delayed Mexico factory as linked.
@@singed8853 It's another point to add that Trump is completely unpredictable. Him using Trump as an excuse probably means if Trump's elected it'll be on pause for another four years if not outright canceled. But, it's also worth noting Biden is in a really, really similar boat with his policies. The fact the Biden administration has continually put tariffs on Chinese goods while trying as hard as possible to push US goods likely means Musk will be screwed either way.
His mistake was not getting close to the Mexican party running the country. But if you think about it what happened to the slang "Make american great again "?
Honestly, I think you’re overthinking this a little bit. Giga-Mexico was being built to compete with Chinese EV manufacturers. Because of free trade agreements, Mexican manufactured Chinese EVs could be imported across the border and dramatically undercut the price of Tesla and other EVs in the United States. If Tesla were to remain competitive, they would need to be producing in the same geography. This explained why they were so frantic to build the plant. You can get a sense of the problem by reading the article, “Prospect of low-priced Chinese EVs reaching US from Mexico poses threat to automakers” in the Associated Press. If Trump wins, Tesla can cancel (or indefinitely delay) the Mexican plant. They’ll know that their EVs will remain competitive in the United States for the foreseeable future. But if he loses, the plant can be ready and producing cars by 2026/2027. It boils down to this. Why invest in an entirely new plant in a new geography when they haven’t reached the maximum capacity at their other Giga Plants? Giga Mexico only makes sense if they’re in a price war. But if they’re not in a price war, why not stick with their existing plants? While it’s fair to say Tesla is in a state of transition, I fully expect them to continue ramping automobile production as they reach their mission.
Plus the end of the video "Now we are here with massive amounts invested in GPU's and Auto date" Like wait what, Tesla has been building out FSD for also 7 years plus but he spoke as if they just created this idea yesterday in order to create fake value or follow the dummy mission. I create content on a youtube show but the last thing I think that it qualifies me to understand how to run an innovative company. Tesla can not know what Trump is going to do, Mexico is a currently a place with cars being produced as your mention and brought into USA and trump was already in office. LOL. Trump now just has strong positions on this with heavy tariffs now Tesla should have know that LOL.
Politicians are just buying time, and Elon is sleeping on a cactus. The American consumer will eventually complain that everyone in the world will have affordable Chinese EV's that came out of a Science Fiction movie while they are stuck with overpriced horse carriages.
@@Rene-uz3eb Depends on who you are, American companies manufacturing in Mexico are benefitting from free trade agreements as they are able to keep costs lower while keeping prices high. I would be interested to hear a take on this by someone much more knowledgeable than myself.
You need to make a clear delineation between when the sponsor section starts and when it ends. Add a clock, a progress bar, or put AD in the upper left-hand corner but it's really annoying and a little duplicitous. You think you're listening to content and it's actually an ad.
I get it cause I was fooled too, however, the only advantage to knowing when the ad starts is so that I can skip it. Given that this is a business and that is a revenue stream, it makes sense. This is our way of paying for this work, but 99% of people skip the ad. It is like 65% of people that used your service decided not to pay, wouldn't you try and do something about it? Given this I don't really care, though I did skip it once I realized what it was.
No one actually knows this. You are well informed. In fact BYD is actually doing things about it and is and will invest more. I honestly like Tesla better but the fact that the Chinese are eating the USA lunch is definitely something to be aware of. Plus Mexico has its own electric cars coming up but for now it’s no more than a rumor.
And who will buy all that EV crap. chinese are crazy, they always overinvest and overbuild and it usually ends up in a massive waste like ghost towns etc..
@@thomasfalcon6350 last time I checked China is doing way better than the USA in all aspects and the only thing the USA is still the leader around the world by far it’s with their military but that’s about it ,
I totally disagree. Holding off on Mexico was the smart decision. Interest rates started climbing. Inflation was running wild. Dumping billions into a factory that will lose the company money for several years before full ramp is dumb. Better to invest in other areas until there is an economic shift in the right direction.
I'm from Monterrey, México, and the Tesla Gigafactory was heavily used as political propaganda during some months by the local government, but then everyone just forgot about it
it's called a pivot. Companies that don't pivot, and head full steam ahead regardless of contrary indicators, go over the cliff all the while convinced they were headed in the right direction.
FUD FYI -all of the previous factories presented hurdles to overcome along the way. Beyond that, the Mexico factory was never taken for granted, never considered a “done deal”.
The answer to why Elon canceled Giga Mexico is because of Chinese EVs. They are making less profit per vehicle as a result the competition so Tesla has to scale their ambitions.
If I recall correctly, Elon said that the cars made in Mexico would be for other parts of the world, not for import to the US. Mexico tariffs would not apply, if the cars are not coming in. Only cash will be coming in
I think in general, Tesla is much more likely to expand existing plants than make new ones. Making new factories is a LOT when you include supply chains.
Chinese will kick out US brands in México. BYD will open a 10 billion dollar plant in Jalisco and also Great Wall, Yutong, Changan and MG are coming. So we dont mind if Tesla does not come to México. We will buy chinese
I live in Oaxaca Mx. And a Tesla investor. As I remember the original plan for GigaMex was to sell to Latin and South America. I've seen a few Model 3s in the wild here. But they could have been Hertz cars. Mexico uses diesel for buses and trucks and the air quality shows it. I suspect Tesla will build in Mexico when the time is right. A charging infrastructure is needed before there could be a wide acceptance of EVs. There was no sense to build a factory until they could forecast demand. Tesla will build when it is the best use of their resources.
There is demand for a cheaper EV in the U.S. Monterey is 2:30 hours from Texas instead of rolling out affordable EV’s Tesla worked on the Cybertruck which has no demand compared to affordable EV’s. Tesla should have been focusing on a model 2 not cybertruck. The tariffs and EV tax credit ban will crush Tesla during the Trump administration
The reason why Elon was concerned about the election was the Mexican election. He's concerned about President Shane Baum and her interactions with Trump and the North American Free trade agreement.
SHOULD HAVE JUST BUILT IT IN CANADA!!! It was between Canada & Mexico as it was already. Building in south of Toronto between Scarborough - London - Niagara would give them all of the workforce they needed, the rail and transportation lines to move parts and deliveries and it would give Tesla a major hub in the North East of North America thus supplying one of the major markets in the northeast and the bulk of Canadian markets as well in Toronto-Ottawa-Quebec-Montreal. Honda is building a plant here now but it would be incredibly smart to shift Giga Mexico up to and have Giga Canada or Giga Toronto
Tesla spent billion streamlining auto production and reducing cost to build cars for less. China responding by lowering prices on cars already selling below cost. Tesla had to eat these costs as they did not grow Tesla's market share. For this and other reasons Tesla realized that it could not sell more cars by being more efficient alone. It had little need for a Mexican factory at this realization in conjunction with growing political concerns.
Hey Dan. China boogeyman is poor hypothesis. China can’t afford perpetually subsidising exports of BEVs. Policy was very much short term boost to establish industry domestically, with exports to defray investment. But I agree Tesla doing more to simplify design & automate what’s left, with Shanghai down to 28 seconds. Robotaxis, extending vehicle life towards a million miles, vastly reduce need for say 20 million vehicles pA.
@@iandavies4853 Hey Ian ! Currently China only needs to ensure that it has a lower priced 3 and Y competitor to put the hurt on Tesla. They have largely put the brakes on Tesla taking market share by lowering costs. Tesla is responding by moving into a new market and has said to be making a less expensive car or two on the existing lines. But there is no talk from Tesla about a $25K car. Just from us. China has slowed Tesla investment in cars.
@@danharold3087 BYD appears to be only Chinese close to Tesla, more complementary than competitor. (3 & Y are in luxury segment in China - compared to BYD.) BYD make “dumb" cars with no chance of autonomous control. This’ll soon be important. BYD are spread over 18 models, lots of hybrids, quite a few old plants (ex-legacy I guess). They aren’t innovative in design, manufacturing or sales, found a formula, cut & paste. (So economies are missing, it’ll cost them more in long run.) I haven’t heard why Tesla hasn’t expanded car production in Shanghai, capitalise on nearby CATL plant. (energy is getting ridiculous markup so gets priority.) Shanghai is fantastic for export & CCP would love the foreign currency. EU is the sticking point. Thanks for conversion.
@@AudiTTQuattro2003 the announcement did not pump the stock, so again false the Tesla team always provides there ideas and designs to the public unlike most companies and nothing is wrong with that, it is not called stock pumping but yes it is easier to make that claim without proof. The entire team at Tesla does this in order to trick people. Great thinking
Those tariffs might be necessary. BYD is building a plant there & their cars are much cheaper than Tessla's. The tariff's will protect US mfgrs and union jobs. But putting an import barrier up will slow down EV growth.
Kind of a negative narrative for a channel that makes its content for followers of the brand. Yeah, I mean it was announced that he wanted to build a factory in Mexico but stuff happens. Being able to change directions based on what's best for the company quickly is one of the reasons the brand is so successful. Bring on the robots, that's going to be a huge game changer for many sectors not just vehicle manufacturing.
Does the Kool-aid taste good? It sounds like you must have been bathing in it! This channel is the best on YT at pulling back the curtain and sharing Tesla information. This was great Giga Mexico information. They also cover robots too.... Maybe you need to watch more of their videos.
Yeah, seems if Elon is playing 4-D chess, the Giga Mexico announcement was simply for a short-term stock enthusiasm. Never any real intention there, and now he's backing the guy that would put tariffs on Mexico production.
I agree to an extent, I think the writers are good at revealing things hardcore fan boys miss, but then it’s frustrating when they miss the valid things hardcore fan boys get… reading some other comments on this video proves that. Pausing gig Mexico is a smart decision for in depth reasons that the Tesla space completely overlooked or for some reason chose not to include.. bad reporting.. just do better please I love the channel and most content but get frustrated every time this happens, which is frequent.
Perhaps Singapore ought to have a Giga Plant, this place ought to be ideal for distributing Tesla’s around the bottom of the Globe including Australia and New Zealand.
Why Australia and New Zealand would accept Tesla cars made in Singapour, or china, or from elsewhere? Why not Australia would taxe 100% those imported cars, like Trump is threatening to do? Obviously, it is trade agreements between countries, and they must be equitable. But the trilateral agreement Canada usa mexico does not guarantee equitability, much less if there is no trade agreement.
It makes sense honestly, South America isn't economically viable and these companies have economic forcasting as far ahead as possible. You need to keep in mnd their restructuring and the overall assumption of a depression. They only have so much cash onhand.
There is more room on their existing land in Austin to build with experienced contractors. Let's see what the actual production will be now. Mexico can politically mess with companies too. And some of that has made the news. The good part is finding some solutions and that is progress. Mexico has good world trade agreements other than the USA.
It's obvious Elon is just being complacent to Trump. Very smart people can get really dumb when they get some approval, especially after being wrongfully rejected (by Biden). Elon is seeking revenge, not thinking straight in this case IMO, he is losing an opportunity and giving away for free the mexican market to BYD.
Wow people are always are coming up with conspiracies, there are many factors included. People just come up with situations which are "easy", I do not think you and the crew could have built anything in Mexico, let allow know why. I think the project is on hold per the company and progress and at least the construction but there are many moving pieces besides construction. I have been in construction of industrial spaces and US embassies for 2 decades and it is not easy. There are delays for years and that is the US embassy even with it's power in different countries. It would be nice to review the facts like the water and etc but at the end just creating your own conspiracies seems funny. "I provide all these important facts like the lack of water after investing billions but to summarize it up, Elon Lied and conspiracies" LOL great method, bake the cake with facts and ice it with conspiracies
Trump, who is he? Oh that NOBODY . Yeah wasn't he on some idiot lowlife that got kicked off reality TV? That guy, heard he is senile now, so sad...not that i give 2 shakes of dogs leg about that old senil conman.
@@billweberx That old-rap!st-wanna-be-dictator-and-convicted-fellon will finish his days in prison after he loses the next elections and tries another failed coup.
Hi, thanks for the video, my guess is the robo taxi is the next step towards to a cheap car. They can practice everything with a low volume car before a high volume car. They do not need to ramp up poduction as fast for a robotaxi. I think they can go through all of the details with the taxi. Plus They can test the platform before the mass production with the other car. Musk emphasise these days how important to have 3 generation of a product to master it. I think this is the case with the low budget car too. There is no margin for error when they are start to produce it after the taxi. Maybe this is not the case but this is what I think.
Please don't mix up advertisement with the content. Smooth transition may be preferred from the video maker's stand point but as a frequent viewer of this channel it's extremely annoying listening non related info mixed up with in the main topic. Please clearly separate Ads and content and do not make it look like the part of the story. Even though it doesn't seem like much, it diminishes the credibility of the entire story told right before the ads. The meaning of what you were saying gets confused and during the 10 seconds right before the ads it feels like been lied upon and feels very cheated. It is very annoying as a frequent listener. Stop melting the ads together with the story. Just separate them. People who will skip the ads will skip the ads no matter how the transition is smooth, and not separating the ads from the main story drops your credibility as a whole. Its dishonest. HATE IT. Eveytime watching videos from this channel for the past few months, every time. Putting Ads in the video is not the problem at all. Melting them together with the content and confusing your story delivery is a problem.
Been an investor in TSLA since 2009 - this is the best kind of level headed analysis I've been craving! Not at all afraid to call out the company! Best video I've watched on the company in years! Thank-you so much.
@@eded711 You're reading FUD. Every economist right or left agrees that we have a booming economy right now. A recession would have several quarters of negative growth. The US had 3% growth annualized GDP in the 2nd quarter of 2024. Which was higher growth than most of the advanced economies. The unemployment rate is 4.2%, which is considered healthy. Stop spreading nonsense.
@@eded711You seem to be on the wrong video. You need to get to the propaganda spewing negative rhetoric throwing up commi words every other sentence channels.
FSD will create massive demand for Tesla vehicles. Getting FSD done is requiring a large cash investment which is a priority over factory construction. Due to economics Austin is operating at a quarter of its capacity so no need to build a new factory. Berlin is also running well below capacity. A more affordable model and a robotaxi model may undermine model 3 and Y sales in the short term so it’s difficult to see how demand might go especially with the uncertainty surrounding elections. Holding off on Mexico is a sensible caution in particular with global conflicts affecting supplies and logistics at the moment.
Also, I hear a lot of the top Tesla talented employees didn't want to relocate their employees in Mexico, so expansion of giga Texas will happen their instead.
There is nothing disappointing except for those local to the area. It is important for companies to be nimble and reassess plans if they don’t make sense currently. I’m sure this will happen in a few years once robotaxi ramps in the USA.
Tesla has changed course - simple fact. The original mission to accelerate transition to renewable energy has sufficiently advanced and Elon has set sight on other goals for Tesla. The future of Tesla isn't in mass manufacturing low price EV but in services, software and AI = value added premium engineering
Plus manufacturing in Energy storage and less towards cars only more software and etc. Amazons major rev comes from AWS not selling retail items and their warehouses. Shifts do happen and they can have a major impact. Tesla needs are stronger position and focus on Asia. There are limits and restrictions but they adapt EV's and tech way faster than Westerners
@@greatcondor8678 You might be right, the man has many irons in the fire and isn't going to give them up so easily (well, he did the solar roof project and flat pack small house ideas already, perhaps roadster 2.0 too) The future seems clearly AI, software and services - much juicier and bigger fish to fry
stop relating everything to cartels when is mexico involved, respectfully you dont have idea how that kind of bussiness works here and has nothing to do
How about this idea. It is an investment for the future. He had cash that needed to be spent and a government in Mexico that he wanted to court favors from. By buying this property he made friends in Mexico, got rid of cash that he didn't need for a tax investment, and he has property if he ever wants to build in the future.
I suspect that the likelihood of an EC slowdown was not expected when the GigaMexico plant was announced. However, the capital needed for the GigaMenico facility had to compete with the other project and if they are determined to have a higher return and/or the amount of capital is forecast to be lower, priorities get changed. Its not clear if GigaMexico's low progress is a timing issue or a shift in the market? Time will tell....
I also think the Mega factory would be a better return on invested capital at this point in time and place. The margins are larger and the construction hurdles are limited. The mega factory in China would be a wise investment for Tesla
It is unwise for Tesla to forgo constructing a factory, especially considering BYD's expanding presence in Mexico and the broader Ibero-American region.
Wow. As a small shareholder, It's at the same time relieving and alarming to see Tesla fan media realize that Elon hasn't been working his own Master Plan for over a year now. He is fully bought into AI hype and sees Tesla as using FSD as a giant rent-seeking tool from any surviving automakers in a few years. Or as a springboard to an Optimus bot rental company. Fans are convinced no other company could possibly ever deliver these products & compete with Tesla. Just like they said EV competition will never catch up. Except both the XPeng MPV 9 and the Li Mega are better values than the Cybertruck or X. Tesla needs to follow through with what they started. What happens when FSD and or Optimus only reach 5% of expected market?
Yeh even if trump does put a high tax on cars imported in to the US (which I whole heartedly agree with) they could still supply South America with Teslas or export.
Robots! That is always the answer to every one of life's problems. Now throw in some AI (!!) and we're cookin' with gas! (not really, that stuff is eeeevil) 🤣 That location in Mexico doesn't seem like the best choice, based on what you described. Maybe they'll chose another location when the ev market settles and grows enough for that $25k squirt to be successful.
All EV automobile manufacturers are desperate to escape the Lithium battery bottle neck. The current battery's do not meet the demand and so far do not outweigh simply buying a gas vehicle. and with Toyota delivering their hybrid engines the pressure will only increase. I hope these engineers at Tesla can produce a new battery that can double every stat of the current ones.
If that were true y did she support nationalizing their lithium and supported taking Israel to court alongside South Africa?.......she Just got started give her a year or two and we'll see where her ties really align
Yeah right cheap labor, manufacturing in the US is a bit more expensive! Plus rarely employees can pass a drug test. Some can’t even function without meds. Always calling sick for various reasons! Like food poisoning! Or something related to stomach issues. Plus the amount of bitching constantly is unbelievable.
The truth is that Tesla did not set up shop in Mexico because Tesla is not selling its vehicles, it was overtaken by the Chinese company BYD and others. In fact, BYD is currently looking for a place to build its Giga plant. In Mexico, those excuses about lack of water and infrastructure are nonsense, Mexico is huge. But the truth must be told: Tesla cars are expensive, ugly, outdated, impractical and heavy. Just compare a BYD in terms of design, performance, and price and you will realize why there is no Tesla Giga factory in Mexico.
That governor is a clown. His own people are suffering from water shortages and he is over here glazing Elon. I give props to Elon for shelving this idea for now.
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Perhaps there is an incentive to build cars in America.
Considering we need more jobs and way more manufacturing in America. I would rather see everything built in the United States. At least everything we use.
Pronunciation:
"Acquifure" not "Acquifire"
😮
I believe it is actually pronounced aqua fer.
aqui•fer aqui-fer | 'äkwafer, 'akwafar |
noun
a body of permeable rock which can contain or transmit groundwater.
ORIGIN
early 20th century: from Latin aqui- (from aqua 'water') + -fer 'bearing'.
11:03 You're not American? Really! You sure sound American. Canadian, then?
No point in building new factories when your current production capacity exceeds demand and sales are down.
Short the stock.
@@FEEL-X93 I'm not interested in following you into likely financial ruin. Short it if you want. Offering financial advice to people on TH-cam is not intelligent.
@@singed8853 Felt like a bearish statement. I'm being sarcastic.
@@FEEL-X93 Ok. It was just my observation and opinion. No other factory area is being announced to replace the proposed Mexico plant. I see the reduced car sales and the cancelled/delayed Mexico factory as linked.
@@singed8853 It's another point to add that Trump is completely unpredictable. Him using Trump as an excuse probably means if Trump's elected it'll be on pause for another four years if not outright canceled.
But, it's also worth noting Biden is in a really, really similar boat with his policies. The fact the Biden administration has continually put tariffs on Chinese goods while trying as hard as possible to push US goods likely means Musk will be screwed either way.
Elon thought he’d get lithium for free 😂
And he also wanted the Mexican government to pay for half of the factory and 0% ownership of it 😅😂
His mistake was not getting close to the Mexican party running the country. But if you think about it what happened to the slang "Make american great again "?
Honestly, I think you’re overthinking this a little bit. Giga-Mexico was being built to compete with Chinese EV manufacturers. Because of free trade agreements, Mexican manufactured Chinese EVs could be imported across the border and dramatically undercut the price of Tesla and other EVs in the United States. If Tesla were to remain competitive, they would need to be producing in the same geography. This explained why they were so frantic to build the plant.
You can get a sense of the problem by reading the article, “Prospect of low-priced Chinese EVs reaching US from Mexico poses threat to automakers” in the Associated Press.
If Trump wins, Tesla can cancel (or indefinitely delay) the Mexican plant. They’ll know that their EVs will remain competitive in the United States for the foreseeable future. But if he loses, the plant can be ready and producing cars by 2026/2027.
It boils down to this. Why invest in an entirely new plant in a new geography when they haven’t reached the maximum capacity at their other Giga Plants? Giga Mexico only makes sense if they’re in a price war. But if they’re not in a price war, why not stick with their existing plants?
While it’s fair to say Tesla is in a state of transition, I fully expect them to continue ramping automobile production as they reach their mission.
Plus the end of the video "Now we are here with massive amounts invested in GPU's and Auto date" Like wait what, Tesla has been building out FSD for also 7 years plus but he spoke as if they just created this idea yesterday in order to create fake value or follow the dummy mission. I create content on a youtube show but the last thing I think that it qualifies me to understand how to run an innovative company. Tesla can not know what Trump is going to do, Mexico is a currently a place with cars being produced as your mention and brought into USA and trump was already in office. LOL. Trump now just has strong positions on this with heavy tariffs now Tesla should have know that LOL.
Free trade agreements really are dumb
Politicians are just buying time, and Elon is sleeping on a cactus. The American consumer will eventually complain that everyone in the world will have affordable Chinese EV's that came out of a Science Fiction movie while they are stuck with overpriced horse carriages.
Trump win lose doesn't change anything. Biden's 100% tariffs and other obstacles will be kept for as long as needed
@@Rene-uz3eb Depends on who you are, American companies manufacturing in Mexico are benefitting from free trade agreements as they are able to keep costs lower while keeping prices high. I would be interested to hear a take on this by someone much more knowledgeable than myself.
You need to make a clear delineation between when the sponsor section starts and when it ends. Add a clock, a progress bar, or put AD in the upper left-hand corner but it's really annoying and a little duplicitous. You think you're listening to content and it's actually an ad.
I get it cause I was fooled too, however, the only advantage to knowing when the ad starts is so that I can skip it. Given that this is a business and that is a revenue stream, it makes sense. This is our way of paying for this work, but 99% of people skip the ad. It is like 65% of people that used your service decided not to pay, wouldn't you try and do something about it? Given this I don't really care, though I did skip it once I realized what it was.
If the USA/Tesla doesn’t invest in Mexico well the Chinese/BYD will and that is a fact
No one actually knows this. You are well informed. In fact BYD is actually doing things about it and is and will invest more. I honestly like Tesla better but the fact that the Chinese are eating the USA lunch is definitely something to be aware of. Plus Mexico has its own electric cars coming up but for now it’s no more than a rumor.
And who will buy all that EV crap. chinese are crazy, they always overinvest and overbuild and it usually ends up in a massive waste like ghost towns etc..
@@thomasfalcon6350 last time I checked China is doing way better than the USA in all aspects and the only thing the USA is still the leader around the world by far it’s with their military but that’s about it ,
🤦♂️🤯🤮🤡
Sorry kid but Trump is an idiot and when you reach puberty maybe you will realize that! 🤡
I totally disagree. Holding off on Mexico was the smart decision. Interest rates started climbing. Inflation was running wild. Dumping billions into a factory that will lose the company money for several years before full ramp is dumb. Better to invest in other areas until there is an economic shift in the right direction.
High interest rate environment is a bad environment for lower priced cars? I don’t see the support for that claim.
no a better idea is water factors which is smart but then change the narrative to conspiracies which this video did at the end.
Yeah, this guy is just one dimensional thinker. lol
@@singed8853yo pretty dumb then
Also, the BYD and other Chinese brands entered Mexico, and Elon won't be able to compete.
I'm from Monterrey, México, and the Tesla Gigafactory was heavily used as political propaganda during some months by the local government, but then everyone just forgot about it
That's correct, Samuel took advantage
@@briantruck2284 SamuElon🤣
@@santiagohuergo5414 barras
“I’m from Monterrey, Whitexico”
@@mrpablomx AN ANGLO IN TEXAS WOULD SPIT ON YOUR FACE IF YOU CLAIMED TO BE WHITE.. SO STOP IT! YOU ARE JUST A FRIJOLERO JUST LIKE THE REST OF THEM
it's called a pivot. Companies that don't pivot, and head full steam ahead regardless of contrary indicators, go over the cliff all the while convinced they were headed in the right direction.
Also called a grifter shuffle.
FUD
FYI -all of the previous factories presented hurdles to overcome along the way. Beyond that, the Mexico factory was never taken for granted, never considered a “done deal”.
Aquifers, NOT aquifiers.
42 thousand acres NOT 42 hundred.
Anyone who posts a video with gems like those don’t give a fuq.
The answer to why Elon canceled Giga Mexico is because of Chinese EVs. They are making less profit per vehicle as a result the competition so Tesla has to scale their ambitions.
5:45 "the first legal one, at least." LMAO, i instantly imagined a cartel cybertruck
If I recall correctly, Elon said that the cars made in Mexico would be for other parts of the world, not for import to the US. Mexico tariffs would not apply, if the cars are not coming in. Only cash will be coming in
Sure he said that, but that doesn't mean it wouldn't change.
Imports are always more expensive the farther the buyer Gigamexico lost a huge market 3 hours from the border
I think in general, Tesla is much more likely to expand existing plants than make new ones. Making new factories is a LOT when you include supply chains.
Chinese will kick out US brands in México. BYD will open a 10 billion dollar plant in Jalisco and also Great Wall, Yutong, Changan and MG are coming. So we dont mind if Tesla does not come to México. We will buy chinese
I live in Oaxaca Mx. And a Tesla investor. As I remember the original plan for GigaMex was to sell to Latin and South America. I've seen a few Model 3s in the wild here. But they could have been Hertz cars. Mexico uses diesel for buses and trucks and the air quality shows it. I suspect Tesla will build in Mexico when the time is right. A charging infrastructure is needed before there could be a wide acceptance of EVs. There was no sense to build a factory until they could forecast demand. Tesla will build when it is the best use of their resources.
Bullding Electric cars will destroy our enviroment faster than keeping using diessel and gasoline
There is demand for a cheaper EV in the U.S. Monterey is 2:30 hours from Texas instead of rolling out affordable EV’s Tesla worked on the Cybertruck which has no demand compared to affordable EV’s. Tesla should have been focusing on a model 2 not cybertruck. The tariffs and EV tax credit ban will crush Tesla during the Trump administration
The reason why Elon was concerned about the election was the Mexican election. He's concerned about President Shane Baum and her interactions with Trump and the North American Free trade agreement.
BYD just announced a gigantic factory in Mexico.
SHOULD HAVE JUST BUILT IT IN CANADA!!! It was between Canada & Mexico as it was already.
Building in south of Toronto between Scarborough - London - Niagara would give them all of the workforce they needed, the rail and transportation lines to move parts and deliveries and it would give Tesla a major hub in the North East of North America thus supplying one of the major markets in the northeast and the bulk of Canadian markets as well in Toronto-Ottawa-Quebec-Montreal.
Honda is building a plant here now but it would be incredibly smart to shift Giga Mexico up to and have Giga Canada or Giga Toronto
Inciteful, well researched, convincing analysis of what's going on.
Tariffs on the vehicles completely negate all of the positive reasons to build there so it’s not surprising at all.
Tesla spent billion streamlining auto production and reducing cost to build cars for less. China responding by lowering prices on cars already selling below cost. Tesla had to eat these costs as they did not grow Tesla's market share. For this and other reasons Tesla realized that it could not sell more cars by being more efficient alone. It had little need for a Mexican factory at this realization in conjunction with growing political concerns.
Hey Dan.
China boogeyman is poor hypothesis.
China can’t afford perpetually subsidising exports of BEVs.
Policy was very much short term boost to establish industry domestically, with exports to defray investment.
But I agree Tesla doing more to simplify design & automate what’s left, with Shanghai down to 28 seconds.
Robotaxis, extending vehicle life towards a million miles, vastly reduce need for say 20 million vehicles pA.
@@iandavies4853 Hey Ian !
Currently China only needs to ensure that it has a lower priced 3 and Y competitor to put the hurt on Tesla. They have largely put the brakes on Tesla taking market share by lowering costs. Tesla is responding by moving into a new market and has said to be making a less expensive car or two on the existing lines. But there is no talk from Tesla about a $25K car. Just from us. China has slowed Tesla investment in cars.
@@danharold3087 BYD appears to be only Chinese close to Tesla, more complementary than competitor.
(3 & Y are in luxury segment in China - compared to BYD.)
BYD make “dumb" cars with no chance of autonomous control. This’ll soon be important.
BYD are spread over 18 models, lots of hybrids, quite a few old plants (ex-legacy I guess).
They aren’t innovative in design, manufacturing or sales, found a formula, cut & paste.
(So economies are missing, it’ll cost them more in long run.)
I haven’t heard why Tesla hasn’t expanded car production in Shanghai, capitalise on nearby CATL plant.
(energy is getting ridiculous markup so gets priority.)
Shanghai is fantastic for export & CCP would love the foreign currency. EU is the sticking point.
Thanks for conversion.
@@iandavies4853 The money is in the 'luxury segment' in China.
Your welcome.
@@iandavies4853 When is Tesla's autonomous control coming? Elon first promised it in 2018.
Hard to imagine a company of this size being able to change their minds on a dime....thats okay isnt it?
But then, Tesla is not just any company.
Tesla sales numbers have been going down the last two quarters. No need for a new factory if they can't sell the cars.
@@AudiTTQuattro2003 the announcement did not pump the stock, so again false the Tesla team always provides there ideas and designs to the public unlike most companies and nothing is wrong with that, it is not called stock pumping but yes it is easier to make that claim without proof. The entire team at Tesla does this in order to trick people. Great thinking
ICE cars have seen an even greater decline in sales. It's called a recession.
@@ObstaclestoOpportunities lmao NGMI
Simply that cheap labor isn't going to matter much if you have robots. Also making the trade deficit worse doesn't make a lot of sense either.
Those tariffs might be necessary. BYD is building a plant there & their cars are much cheaper than Tessla's. The tariff's will protect US mfgrs and union jobs. But putting an import barrier up will slow down EV growth.
Right just let China rise tax tariffs on all American good as well ..........
Seems like we fighting a losing battle 😓
No problem. BYD will build on the land
Sales are declining, and there is no need for any new factories for Tesla.
Don't worry, BYD is goin to built a factory in Mexico.
@10:30 - American rule based "free" trade 😂
Kind of a negative narrative for a channel that makes its content for followers of the brand. Yeah, I mean it was announced that he wanted to build a factory in Mexico but stuff happens. Being able to change directions based on what's best for the company quickly is one of the reasons the brand is so successful. Bring on the robots, that's going to be a huge game changer for many sectors not just vehicle manufacturing.
I agree
We need a full on echo chamber here. No negative takes wanted.
Does the Kool-aid taste good? It sounds like you must have been bathing in it!
This channel is the best on YT at pulling back the curtain and sharing Tesla information. This was great Giga Mexico information. They also cover robots too.... Maybe you need to watch more of their videos.
Yeah, seems if Elon is playing 4-D chess, the Giga Mexico announcement was simply for a short-term stock enthusiasm. Never any real intention there, and now he's backing the guy that would put tariffs on Mexico production.
I agree to an extent, I think the writers are good at revealing things hardcore fan boys miss, but then it’s frustrating when they miss the valid things hardcore fan boys get… reading some other comments on this video proves that. Pausing gig Mexico is a smart decision for in depth reasons that the Tesla space completely overlooked or for some reason chose not to include.. bad reporting.. just do better please I love the channel and most content but get frustrated every time this happens, which is frequent.
I would prefer a giga factory in Virginia or North Carolina or Kansas or anywhere in the USA. Labor isn’t a problem as it is completely automated.
Perhaps Singapore ought to have a Giga Plant, this place ought to be ideal for distributing Tesla’s around the bottom of the Globe including Australia and New Zealand.
Why Australia and New Zealand would accept Tesla cars made in Singapour, or china, or from elsewhere? Why not Australia would taxe 100% those imported cars, like Trump is threatening to do? Obviously, it is trade agreements between countries, and they must be equitable. But the trilateral agreement Canada usa mexico does not guarantee equitability, much less if there is no trade agreement.
It makes sense honestly, South America isn't economically viable and these companies have economic forcasting as far ahead as possible. You need to keep in mnd their restructuring and the overall assumption of a depression. They only have so much cash onhand.
Mexico is in North America
There is more room on their existing land in Austin to build with experienced contractors. Let's see what the actual production will be now.
Mexico can politically mess with companies too. And some of that has made the news. The good part is finding some solutions and that is progress.
Mexico has good world trade agreements other than the USA.
2:05 4,200 acres or 42,000 acres? The spoken vs the written did not match correctly.
Well, using common sense you could realize that it is 4,200 acres. Because 42,000 acres would be the ridiculous.
It’s obvious they are allocating money in other projects, likely AI for FSD and Dojo
It's obvious Elon is just being complacent to Trump. Very smart people can get really dumb when they get some approval, especially after being wrongfully rejected (by Biden). Elon is seeking revenge, not thinking straight in this case IMO, he is losing an opportunity and giving away for free the mexican market to BYD.
7:05 4,200 or 42,000 ???
Wow people are always are coming up with conspiracies, there are many factors included. People just come up with situations which are "easy", I do not think you and the crew could have built anything in Mexico, let allow know why. I think the project is on hold per the company and progress and at least the construction but there are many moving pieces besides construction. I have been in construction of industrial spaces and US embassies for 2 decades and it is not easy. There are delays for years and that is the US embassy even with it's power in different countries. It would be nice to review the facts like the water and etc but at the end just creating your own conspiracies seems funny. "I provide all these important facts like the lack of water after investing billions but to summarize it up, Elon Lied and conspiracies" LOL great method, bake the cake with facts and ice it with conspiracies
Musk said construction is on hold because Trump may impose a tax on production in Mexico
How is he going to do that? He won’t be president instead he’ll be rotting in a jail cell. Stupid move on Musk part. He’ll learn.
Trump, who is he? Oh that NOBODY . Yeah wasn't he on some idiot lowlife that got kicked off reality TV? That guy, heard he is senile now, so sad...not that i give 2 shakes of dogs leg about that old senil conman.
@@ChosenMJ Not tax, tariff. Trump can modify the free trade agreement. He did it the last time he was president. Trump will never see a day in jail.
@@billweberx That old-rap!st-wanna-be-dictator-and-convicted-fellon will finish his days in prison after he loses the next elections and tries another failed coup.
@@ChosenMJ Trump Derangement Syndrome is a thing
german energy price is more like 32 cents since a while now..
8 times and two times as expensive, big deal, back to the drawing board!?!
Hi, thanks for the video, my guess is the robo taxi is the next step towards to a cheap car. They can practice everything with a low volume car before a high volume car. They do not need to ramp up poduction as fast for a robotaxi. I think they can go through all of the details with the taxi. Plus They can test the platform before the mass production with the other car. Musk emphasise these days how important to have 3 generation of a product to master it. I think this is the case with the low budget car too. There is no margin for error when they are start to produce it after the taxi. Maybe this is not the case but this is what I think.
Sour Grape video with a imbedded ad
BYD will build their gigafactory in Mexico. BYD is the future
An impressively clarifying and well-thought out episode. Warmest compliments. Thank you. :)
Please don't mix up advertisement with the content. Smooth transition may be preferred from the video maker's stand point but as a frequent viewer of this channel it's extremely annoying listening non related info mixed up with in the main topic. Please clearly separate Ads and content and do not make it look like the part of the story.
Even though it doesn't seem like much, it diminishes the credibility of the entire story told right before the ads. The meaning of what you were saying gets confused and during the 10 seconds right before the ads it feels like been lied upon and feels very cheated. It is very annoying as a frequent listener. Stop melting the ads together with the story. Just separate them.
People who will skip the ads will skip the ads no matter how the transition is smooth, and not separating the ads from the main story drops your credibility as a whole. Its dishonest. HATE IT. Eveytime watching videos from this channel for the past few months, every time.
Putting Ads in the video is not the problem at all. Melting them together with the content and confusing your story delivery is a problem.
Been an investor in TSLA since 2009 - this is the best kind of level headed analysis I've been craving! Not at all afraid to call out the company! Best video I've watched on the company in years! Thank-you so much.
FUD - we’re in the middle of a major recession if you haven’t noticed that’s the only reason it’s been delayed
FUD. We're not in a recession. The economy is booming. Where do you get your news?
@@billweberx not from commi-cackling-mala, but from the real world...
@@eded711 You're reading FUD. Every economist right or left agrees that we have a booming economy right now. A recession would have several quarters of negative growth. The US had 3% growth annualized GDP in the 2nd quarter of 2024. Which was higher growth than most of the advanced economies. The unemployment rate is 4.2%, which is considered healthy. Stop spreading nonsense.
@@eded711You seem to be on the wrong video. You need to get to the propaganda spewing negative rhetoric throwing up commi words every other sentence channels.
@@michaeldeierhoi4096 ooh, you commie pansis got offended couz your queen got named negatively... sensitivity commie police to the rescue 😂
FSD will create massive demand for Tesla vehicles. Getting FSD done is requiring a large cash investment which is a priority over factory construction. Due to economics Austin is operating at a quarter of its capacity so no need to build a new factory. Berlin is also running well below capacity. A more affordable model and a robotaxi model may undermine model 3 and Y sales in the short term so it’s difficult to see how demand might go especially with the uncertainty surrounding elections. Holding off on Mexico is a sensible caution in particular with global conflicts affecting supplies and logistics at the moment.
All FSD is going to do is bankrupt Tesla in wrongful death lawsuits. Best to put money in the Bots.
Also, I hear a lot of the top Tesla talented employees didn't want to relocate their employees in Mexico, so expansion of giga Texas will happen their instead.
Relocate "thelir" WHAT? Did you mean "THERE" ?
Sorry forgot employees
Teslas from Fremont are shoddy enough. I can't imagine how bad they would be from Mexico.
There is nothing disappointing except for those local to the area. It is important for companies to be nimble and reassess plans if they don’t make sense currently. I’m sure this will happen in a few years once robotaxi ramps in the USA.
Also there are also other companies already building Kia BMW and Nissan
Tesla has changed course - simple fact. The original mission to accelerate transition to renewable energy has sufficiently advanced and Elon has set sight on other goals for Tesla. The future of Tesla isn't in mass manufacturing low price EV but in services, software and AI = value added premium engineering
Plus manufacturing in Energy storage and less towards cars only more software and etc. Amazons major rev comes from AWS not selling retail items and their warehouses. Shifts do happen and they can have a major impact. Tesla needs are stronger position and focus on Asia. There are limits and restrictions but they adapt EV's and tech way faster than Westerners
I thought his main revenue was building secret tunnels for the military industrial complex.
@@greatcondor8678 You might be right, the man has many irons in the fire and isn't going to give them up so easily (well, he did the solar roof project and flat pack small house ideas already, perhaps roadster 2.0 too) The future seems clearly AI, software and services - much juicier and bigger fish to fry
must have something to do with the robotaxi/ humanoid pivot
Politicians, Cartels, and Taxes..oh my!
Nothing guns, lawyers, and money doesn't cure. That the lawyers have necks and other body parts that would make the every rugby player impressed by.
Mexico does not have a stable government, and it will never have one.
@@GrigoriZhukovWarren Zevon fan?
Lmao USA also has those things 😂 I laugh when Americans feel superior and we almost have the same murder rates 😂
stop relating everything to cartels when is mexico involved, respectfully you dont have idea how that kind of bussiness works here and has nothing to do
How about this idea. It is an investment for the future. He had cash that needed to be spent and a government in Mexico that he wanted to court favors from. By buying this property he made friends in Mexico, got rid of cash that he didn't need for a tax investment, and he has property if he ever wants to build in the future.
Should have done it in the US and export out...cheaper long run to ship out than to spend 2-10 billion on a plant.
I suspect that the likelihood of an EC slowdown was not expected when the GigaMexico plant was announced. However, the capital needed for the GigaMenico facility had to compete with the other project and if they are determined to have a higher return and/or the amount of capital is forecast to be lower, priorities get changed. Its not clear if GigaMexico's low progress is a timing issue or a shift in the market? Time will tell....
I also think the Mega factory would be a better return on invested capital at this point in time and place. The margins are larger and the construction hurdles are limited. The mega factory in China would be a wise investment for Tesla
Virginia has the New River for water.
WATER IS A NOT AN ISSUE. ITS ALL ABOUT MAKING MONEY.
thats ok keep it in texas or later in detroit some factory space may become available and a few auto workers needing jobs
Not gonna happen. Those "workers" would all want to unionize - an anti-Tesla culture.
Simple Answer: Demand for Tesla and EVs in general is slowed dramatically...
still reports of 1/2 EV buyers selling and reverting to ICE-engine vehicles. Need more convenient charge stations
Mexico generates electricity with coal and oil, building tesla is crazy!
Depends greatly by state
Elon Musk has a new agenda. AI, robots and spacex
It is unwise for Tesla to forgo constructing a factory, especially considering BYD's expanding presence in Mexico and the broader Ibero-American region.
Giga Mx is only 335 miles from Giga Tx. Whats the point?
!
I’d bet dollars to donuts that This was change was DEFINITELY affected by the upcoming election/ jobs creation and tariffs.
Wow. As a small shareholder, It's at the same time relieving and alarming to see Tesla fan media realize that Elon hasn't been working his own Master Plan for over a year now. He is fully bought into AI hype and sees Tesla as using FSD as a giant rent-seeking tool from any surviving automakers in a few years. Or as a springboard to an Optimus bot rental company. Fans are convinced no other company could possibly ever deliver these products & compete with Tesla. Just like they said EV competition will never catch up. Except both the XPeng MPV 9 and the Li Mega are better values than the Cybertruck or X. Tesla needs to follow through with what they started. What happens when FSD and or Optimus only reach 5% of expected market?
Im happy that he didnt go through with it, keep those damn jobs in the United States
I predict when interest rates drop and more people can afford the price of a new car the the factory will be built right away
Yeh even if trump does put a high tax on cars imported in to the US (which I whole heartedly agree with) they could still supply South America with Teslas or export.
Musk over-promised and under-delivered? I am shocked!
The land wasn’t conducive to building a large factory.
Robots! That is always the answer to every one of life's problems. Now throw in some AI (!!) and we're cookin' with gas! (not really, that stuff is eeeevil) 🤣 That location in Mexico doesn't seem like the best choice, based on what you described. Maybe they'll chose another location when the ev market settles and grows enough for that $25k squirt to be successful.
All EV automobile manufacturers are desperate to escape the Lithium battery bottle neck. The current battery's do not meet the demand and so far do not outweigh simply buying a gas vehicle. and with Toyota delivering their hybrid engines the pressure will only increase. I hope these engineers at Tesla can produce a new battery that can double every stat of the current ones.
just show sponsorship symbol in corner when you start it.
Why worry about having access to free trade agreements with Latin America when you have soiled all political relationships with Latin America?
Really good episode!
He pivoted because he didn’t think Nvidia and Chat GPT were going to be as big as they got. Now he wants a piece of the pie
Thank you for sharing this video
Very interesting info ty
Mexico just elected a WEF hebress as President. . . there’s that.
She’s Mexican
@@pablo.blanchett que tan pinche lastima!
Que tan pinche lastima!
If that were true y did she support nationalizing their lithium and supported taking Israel to court alongside South Africa?.......she Just got started give her a year or two and we'll see where her ties really align
@@Dr.House92 she’s Mexican not jewesh
Yeah right cheap labor, manufacturing in the US is a bit more expensive! Plus rarely employees can pass a drug test. Some can’t even function without meds. Always calling sick for various reasons! Like food poisoning! Or something related to stomach issues. Plus the amount of bitching constantly is unbelievable.
Video has a sentence of information.
The truth is that Tesla did not set up shop in Mexico because Tesla is not selling its vehicles, it was overtaken by the Chinese company BYD and others. In fact, BYD is currently looking for a place to build its Giga plant. In Mexico, those excuses about lack of water and infrastructure are nonsense, Mexico is huge. But the truth must be told: Tesla cars are expensive, ugly, outdated, impractical and heavy. Just compare a BYD in terms of design, performance, and price and you will realize why there is no Tesla Giga factory in Mexico.
And the main reason the giga factory was announced, is for political favors, Samuel need it since he is not like as a governor
That governor is a clown. His own people are suffering from water shortages and he is over here glazing Elon. I give props to Elon for shelving this idea for now.
What happened to the 20 million cars by 2030?
That seems like a silly statement given that 2030 is still almost 6 years away?!
Just a continuing pattern of promises that take much longer to come to production.
This won’t stop Mexican companies from building Mexican cars for their citizens.
BYU is going to build one
build the plant with 1st floor and 4th floor on ground level
The hype is NOT real.
Demand just isn't there
What do you mean with "The first legal one, at least."? What exactly are you implying? Renck
Is cause Mexico got a new electric car.. probably not making it as easy for him now
Shouldn’t that be the exact two people to take seriously?