Here's Why Tesla Car Values Have Dropped So Fast
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- เผยแพร่เมื่อ 14 พ.ค. 2024
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Tesla used car values have dropped incredibly fast -- and today I'm going to explain why. Doug DeMuro will cover why Tesla values have fallen so quickly, and what's to blame for rapidly slowing Tesla pricing.
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Note that I filmed this video on Monday, before Tesla's announcement this week that they're significantly cutting prices on all their new models -- a move that will only further serve to significantly reduce the value of used Teslas.
Noted Doug. Thanks :)
I feel like I should have soold mine when it was worth a lot!
TOYOTA SUPRA IS GOD
That still impacts retail/trade-in negatively
Burger 🍔
I think there's also a fifth point: Increase used car supply due to 3 year lease returns. The Model 3 came out as a 2018 model year, but in the beginning production rates were really low so not a lot were made/sold. We are at the point where a decent supply of leases are expiring.
You are partially correct but US sales actually decreased in 2019 because they began exporting from Fremont.
And all rentals that have been available for a while now are constantly reaching the mileage limits. Another source of the recent influx.
@@JayMcKinsey us sales have been increasing quarter for quarter since then
And another one : prices of new cars are being reduced so logically it's less interesting to buy a used one
@@KCJbomberFTW US sales rebounded in 2020 but those vehicles have only been coming off lease for two weeks.
You know what's a huge deal breaker for me? the freaking enormous repairing prices on any random thing like a door handle compared with a "normal" car. Not to mention the fact that as a car guy, I would like to change some of the broken parts myself like a tail light for example, not be forced to go to their service. Fast acceleration and some gimmicks can't replace what some of us really want from a car.
I agree with you, I like doing my own work after the warranty is done.
Do you own one?
@@eddypan007 no, the closesti Tesla dealer is 731 miles away in the text contry from where I live. Imagine having to tow your car that distance each time you have a problem with it. Besides that, to be honest, it cost more that I am willing to pay for a daily driver.
@michael h have no ideea to be honest, but I don't remember seeing one in my city
I mean gas cars in the same price range have similar cost for things like door handles tbh.
Another factor you forgot to mention is the long list of service issue, delays and price gouging on repairs, replacement parts and bricking some used cars. This has a big effect on people looking for moderate ownership costs. Many other luxury cars drop like rocks from some of these issues.
This is one thing no one else is talking about, thank you.
I thought you didn't need to service EV'S🤣 I'll stick with my V6 is250 thanks
😮
Indeed; It's bad when a base model Honda Civic has better build quality and service than a car that's been perceived since it's inception as a luxury brand. And when simply getting noticed by Musk for bringing some of these problems to light results in your vehicles getting remote bricked, it makes one not want to purchase anything made by any company he runs. (See @RichRebuilds for a fantastic example of this.)
This is one thing. I live in an upscale mountain town and we have a lot of Teslas around here. Almost every one of them that I see has fairly obvious manufacturing defects. Uneven panel gaps, mis-aligned trim, funky paint. Consumer Reports owner surveys find the same sorts of problems, so it is not just my small sample. I'm not sure I'd want to buy a car with the build quality of a 1960's Detroit sled. Everyone else building BEV's knows how to build cars. Not so sure that Testa does.
Love when Doug’s inner economist shows - more analysis like this in the future please.
I second this!
What stonk to buy??? 🤣🤣
Great analysis.
He does have Teslas to sell but his analysis is sound and he does say his Cars & Bids sells them. I found this very interesting.
Find it crazy he said Elon has positioned himself as a conservative. Guy is anything but. He grew too power with leftist ideals and financial backing. Other then free speech, which I personally know multiple leftists that support free speech. What would make him conservative? People have gone very very far left. The ‘right’ is so broad now ppl include Elon musk and Alwx Jones as allies 😂 do ppl not see this cult of mind thinking from the left? Either your completely onboard or your an enemy, to the point Doug believes it effected the value of his cars. I don’t really lean either way jus found this odd.
Here in Britain, electricity prices have skyrocketed (about 42 US cents per kWh) making EVs less attractive compared to gas , plus in the 22/23 winter there was a lot of press coverage of long queues at the small number of Supercharger sites as Tesla range fell in the cold weather.
The charging infrastructure in Britain just isn't ready for mass EV ownership, despite our utterly corrupt politicians banning sales of gas cars from 2030
Same in fricking Norway, corrupted and delusional politicians: especially the dumb green party.
Banning gas cars was the smart way forward that will decrease air pollution and health problems such as asthma, heart disease etc
Stop triggering virtue signaling environmentalists with logic 😂
Good point u never know whatll skyrocket electricity or gas ima bet both but one can skyrocket way above the other so own both types
I r a n can block the hormuz strait and ur gas prices skyrocket to 20 bux a gallon and electricity prices get brought up with it along with food inflation skyrocketing so 1 move the pretender in chief makes can be destructive
I had a Model Y on order. I let it drop for a number of reasons:
self driving doesn't work well enough and got worse after radar was removed.
the Fremont Y has a bent frame so body panels and doors don't fit and rattles and
squeaks cannot be fixed and there is no sign that Austin Ys will be available.
the value of the cars drops to zero after the 8 year drive train warranty runs out
because of the potential cost of replacement of battery, drive units etc.
Good video (as always), very informative.
In Australia they dropped about 10% in the past 3 months as I've been following the prices closely. I also happened to test drive a model 3 in early Dec and I've asked for their prices of pre-owned 2021 and up, and the guy said the cheapest one they have is $67k aud. To which I said 'no thanks because online they are $10k cheaper'. He almost fell off his chair and immediately went to check for himself lol. But since then the same cars I saw 6 weeks ago are still for sale and they are dropping even more.
The cheapest l've seen New Model 3 in Oz was $59,999 about 2 years ago.
We're NOT there YET.
Yeah Australia definitely still seems quite affected by the waiting lists for most major cars than other markets. Pretty much all the popular vehicles still have long wait lists.
@@fifafanatic24unfortunately I think we can also add blame to the fact we are a RHD market. Most major Automakers don’t prioritise RHD production
Over here in the UK the 2021 model 3 is around £24k, the prices have dropped by 40% over the last 6-8 weeks alone.
@@proarcher6438 We are RHD in the UK too, but we now have zero waiting on new Teslas, so you can drive them away the same day, this is why the used prices have crashed, also the £8k discount is nice, meaning you can pick up a 23 Y for £42k now. I don't know how much that is in oz money...
I will add another factor: my 4 year old model 3 still costs $2000 for annual insurance. As new buyers become more informed, fewer and fewer people are willing to pay that kind of insurance - it effectively cancels out a big chunk of gas savings, if not all of it.
I know people who had that argument with neighbors before EVs, just over "gas mileage", who want to nag others into diving what they think they should drive. First of all, a new car is wasteful, compared to one you already own. Reuse, reduce, then recycle. Second, you can buy a lot of gasoline for the $30k (now 48k+), the more expensive repairs, the increased insurance, etc. Many people would save money even on big drive train repairs (the problem is just like the new car, they can't really afford it, but they get approved and continue to dig those financial holes.). Even worse, as the shortages have proven even if you're willing to pay, they aren't prepared to fix it. We live in a society where it's basically expected for a couple of bankruptcies over the course of a lifetime and it makes everything cost more for everybody.
That’s one of the reasons I’ve decided to keep my PHEV (2021 Rav4 Prime) instead of going to a fully electric vehicle. I was slightly thinking about going with a 2023 Model 3 Performance vehicle but made a list for keeping my Prime:
1) Yearly insurance cost
2) 600+ total mile range (fully charged and with a full tank of gas)
3) Real world EV range of around 45-48 miles depending on external conditions, which is enough for my daily commute needs.
4) Toyota reliability
5) Toyota build quality (Prime vehicles are made in Japan)
6) Ability to buy parts for my Prime without any issues
7) Ability to service my vehicle without having to worry about servicing time.
8) No run flats and having a spare tire in the back if I need it when I take a road trip.
I might give EV’s another serious look in the next decade when certain issues are addressed, but for this decade, I think PHEV might be the best comprise for people like me.
@@bipbop3121 it is sad, but we as a global society haven't learned the slightlest about dealing with our wastes, reusage and all that. Save a few tiny countries who have it figured out for the most part, the majority of nations have no clue about how to keep the whole system runing eficiently and as clean as posible. Just look at the waste left on the Everest which nobody is taken care of. People need to get fucked real good in their assholes and have their comfortable lives shaken to the core so then they might learn something useful for their next round if there's any new round at all.
@@paulira7407 I had no idea insurance for EVs is significantly higher. Is it for all of them? And why?
If you go with tesla provided insurance that you sign up for via the tesla app, insurance becomes significantly cheaper. Most of the new tesla buyers will end up going with tesla as the insurance provider. A win long term for Tesla. Doug didn’t mention this fact.
Definitely keeping an eye out! I wanted a model Y almost a year ago, and a used one was 70K OTD. If I could score one under 40K, that would be a phenomenal daily commuter!
Just ordered two Model Y LFP for 45k€ each minus 4k€ subsidy each (all incl. 19% VAT).
It will be good until they decide to disable the supercharging because you didn’t buy it new
@@Ravello1111111111111111111 supercharging is completely unnecessary if it’s just a daily commuter
Average cost of a new car is around $48k in the US. Plus electricity during off peak hours (aka at night) is pennies to charge up full. So working out the usage per month cost, it's on the same level as a base model Toyota RAV4 for me.
38K for a 2023 model y in california
Well put on all fronts and spoken in a clear concise way. I hope they keep tanking....I want a salvage 3 performance project in my life.
This is nice! 2-3 car reviews per week + More Doug 1-2 videos per week.
PS: I miss car spotting with Doug! 😅
The More Doug channel was good. Wish he kept it going there.
@@jimmysgarage9068 Doesn't make sense. Better upload on the main channel and get 20x the views. More Doug I mean the garage and more personal videos, not the secondary channel.
Idea - split off the CarsAndBids into its own channel!!!
Yes this. Lately I’ve been clicking on these talking analysis videos in a second. I’m basically watching them more than his regular videos tbh even though those are like 10 times more frequent.
The one thing that also has a big impact that you did not mention is the federal $7,500 tax credit and price cuts which makes all model 3 and most model Ys much cheaper. Examples: Dual Motor 5 seat model Y was 65,990 now 45,490. Model 3 Rear Wheel Drive was 46,990 now 36,490. Model 3 performance was 62,990 now 46,490. With these changes used car prices will continue to go down unless wait times for new models gets much longer again.
This is the biggest factor IMO. I don’t understand how Doug didn’t mention this. Everyone knew that new Teslas were dropping by $7500, so of course used car prices will drop proportionally.
@@UnibrowBandit "Note that I filmed this video on Monday, before Tesla's announcement this week that they're significantly cutting prices on all their new models -- a move that will only further serve to significantly reduce the value of used Teslas." - pinned comment
@@UnibrowBandit I don't understand how you didn't just read the pinned comment.
Am I not aware of another tax credit for fuel efficient autos? Tesla doesn't qualify for those anymore.
@@UnibrowBandit i dont understand how blind you two are lmao
Thank you for a good analysis, delivered with your trademark enthusiasm.
Locally, the demand for EVs in general, has really fallen in my area after hurricane Ian. For several weeks people were not able to charge their cars without power while gas stations continued to operate with generators running the pumps. Tesla certainly has the advantage with its charging infrastructure, something I didn’t realize until living with my Mach-E for 8 months before selling due to the unreliable charging infrastructure anytime I traveled. But, without electricity neither has the advantage. Just something to consider before buying an EV if you live in a disaster prone area.
I'll take a plug in hybrid. Best of both worlds.
How do you pump gasoline or diesel without electricity? All gas stations require electricity to run the pumps.
@@toddtheisen8386 With a generator. Technically you could charge an EV with a generator as well, as I’m sure many did. Just talking to people who work in the car sales industry in this area, one of the drawbacks people mentioned was that. I always kept my Mach-E fully charged during hurricane season just as people should keep their gas tank full. With over 300 miles of range I could’ve easily left after a storm so I don’t see it as a problem personally, but many perceive it to be and it certainly is for people who need to stay in the area to work after the storm.
This is actually a really good point....and a business opportunity. Come up with a portable emergency battery pack, put hundreds of them at various stations around a given area, and people will always be able to pick one up, plug into their car to get them to a charger station, or provide charge until the grid is back up. The electric equivalent of a gas can. An average gas can gives you about a hundred miles. A battery should be able to do the same distance, for the same weight with current tech.
@@coryturke7336 Honestly a generator would be more practical. The battery packs would have to be massive, even a Tesla power wall is only 13.5 KWh weighing ~350lbs. A model 3 extended range battery has a capacity of 82KWh. Just as an example, a caterpillar 12000 watt generator running at 50% load will burn 1.13 gallons per hour. So charging at 6KW will charge the battery (assuming 100% efficiency) in 13.67 hours or after burning 15.44 gallons of fuel. Given the 358 mile range, that translates to 23.2 mpg, not too bad for an emergency situation. Obviously, 100% efficiency is not achievable but doing that for a few weeks until power is restored isn’t too bad even at a more reasonable efficiency rate.
With the recent price cut, a new model 3 performance now can qualify for the $7500 federal tax credit + $4000 tax credit in NJ if you configure for less than $55k. That means a new model 3 performance with barely any wait list can be bought for $45k after fees including credits.
Edit: The NJ rebate is $2k for vehicle prices between $45k-55k and $4k for below $45k. It is offered point of sale.
Model 3 Performance is an awesome car and an incredible value at that price!
I think the model 3 performance specifically doesn’t qualify for the tax credit right?
Don’t forget no NJ sales tax on EVs. I’d buy one if I qualified for the tax credit.
This is going to destroy Mach e, polestar, id4, i4, etc sales.
That's not exactly how tax credits work
Edit: Credits do indeed work like this, I was thinking about deductions
I think the biggest factor that you mentioned is the waiting list. We've seen this same practice in the consumer technology market over the last few years. Low supply/high demand and waiting lists results in a large number of people purchasing the product with the intent on flipping it for profit. The manufacturer pushes to increase output but as long as this scenario holds true, it creates a positive feedback loop with rapidly increasing supply. Once one of the factors changes and demand drops you end up with a rapid swing of the pendulum back the other way, flippers are caught holding the bag, no one wants the products anymore, and there are a ton of them out there, over supply and under demand. Rapid price drops are the result.
Interested to know which electric cars you guys are talking about when comparing to model Y value and performance. I’m in the market for a new car and currently doing some research!
Very succinct interest rate analysis as it relates to Tesla sales, Doug!
Interest rates today are ridiculously high compared to just a couple of years ago. So automobile sales across the board should continue dropping until interest rates go back down.
All you need to do to confirm this phenomenon is look at declining home sales, which also heavily depend on interest rates. 🤷
You make a good point that when used model 3’s start hitting the $20k mark, that’s almost too good to pass up. It’s a lot of car for the money and that will have the effect of devaluing used Leaf’s, Bolt’s and other cheaper ev’s. I just got done with a 2021 Leaf SV with Pro-Pilot and it is no comparison to a model 3 in any way…these are listed in the high $20’s on dealer lots as comparison.
Exactly. Now gimme that 5k€ first-gen leaf.
Go ahead and buy a "cheap" tesla. Lol. Good luck bro
no shit its 10 grand less lol
Yeah i guess, if you don't mind a car that's built like a tin can.
Leafs will become $1k cars in due time.
Nicely summarized sir
The main factors are major competition coming on line including many vehicles with more conservative interiors/styling and lower prices and the realization they don't work well in long cold winters plus no way to charge them durring major power outages.
LoL, like who?
Between the rebates and the price cuts which started in December a new Tesla is 15K cheaper than in November. I think that explains it.....BTW love the channel!
This video was really fascinating! I’d love to see more auto market analysis videos from you in general. You bring a unique perspective and very good insights.
Love your videos. Great perspective.
Cheapest Tesla within 200 miles of me is $32,000. I guess that's good. When I got my Bolt the cheapest I could find was $25k. Last time I looked they were $40k.
Got my 2017 Bolt Premier for $15k back at the end of 2019 and have loved it so far.
I think this is a good explanation. Coming from someone who runs a new vehicle dealership.
I believe the waiting list point is the biggest reason for used prices declining.
This is true across the entire auto industry.
so because new cars are becoming more available?
@@JLchevz Yes, the availability of new cars is driving down used car pricing. Basically supply and demand used cars went way crazy in the last couple of years with the shortage of chips and everything else that was affecting new cars. What you're seeing now is dealerships are receiving new inventory and more and more new cars are starting to see some incentives now to keep the turn rate going. Again, supply and demand.
Typically used car prices drop in December anyway as dealers are dumping their aged used inventory at the auctions and you'll see them start picking a little bit back up in January and February as tax season starts.
@@JLchevz yea think about the new mustang GT that’s coming out later this year you can get a 2019-2021 for 30-35k rn which is crazy to me
Tesla dropped the prices and they qualify for a $7500 credit.
You can now get a brand new Model 3 RWD for $36k (270mi range).
That makes a 2018 Model 3 with a bunch of miles worth low 20s max.
The 2018 standard range (220mi range) Model 3s will be rolling into the high teens soon.
I sold my Model Y just before the price drop announcement, that dealer is going to take a bath on that car. Got a Model X for almost a direct trade. Win.
living larggeeeeee stealerships
you have to compare the used car depreciation to pre COVID levels, they raised their prices like 7 times during COVID so it seems like their depreciating faster than normal but its just coming back down to pre COVID levels
The price of everything is coming down. The video gives the impression that Tesla used cars are worthless. They hold their value better than pretty much any other vehicle.
That’s what this video is about..
I'm reading this situation like this: before Jan 23 I could buy a new Model Y if I sold my Model 3 Standard Range +10k. Now I'm going to have to work a bit harder.
@@donm2255 they do, but you can't argue that a 2022 is better than a 2021 tesla
@@donm2255 Toyota Trucks would like a word with you
Single largest factor is the fact that supply is catching up with demand. His quantities out of his new factories have greatly increased the number of cars available. It's no longer a rare unique thing as I see Tesla vehicles everywhere now. He's run out of trend followers, but he has plenty of rank and file masses that currently drive regular internal combustion engines that may be ready to switch as long as somebody fixes the charging station problem. It's time for filling stations to convert to charge stations.
Gas stations converting to charging stations is mostly not really going to happen, they're mostly just going to go out of business. There's a few good reasons for that, the biggest being day to day use charging isn't going to happen at a place dedicated to charging, it's going to happen at home. Why would I go to a store to charge when my car is charged up every morning? For homeowners, it's easy to put in a EVSE, I installed mine myself because it's not hard to add a breaker to the panel and run a few wires. Apartments are already starting to put them in their parking lots.
No, fast charging is for road trips. And since it's going to take a bit longer than a gas fill-up, a convenience store isn't really the right type of business to have them, they really should go in places like shopping centers near restaurants. If you're going to be waiting on a charge, might as well grab a quick meal and not just some crappy snacks.
Increased competition is definitely one of the reasons. I used to want a Tesla cus it was electric and thr technology seemed great, but now these other brands offer more in my opinion. The design is just more attractive in the other brands than Tesla's. Especially when you talk about teslas build quality.
Competition definitely caught up. Additionally, Elon's chair position being replaced meant the successor would actually hit production and sales numbers. However, crazy and innovated things Elon would push are no longer as prevalent.
@@GlennTXstate10 If you think that anyone is making EVs on the same level of engineering as Tesla you really don't know much about EVs. No one has "caught up", in fact Tesla is continuously pulling further ahead of everyone. Other OEMs may offer superficial frills and style to decorate their EV platforms that are at the least, five years behind Tesla, and in many areas they will never even equal today's Tesla. Aside from BYD, who is far behind Tesla in every metric and about equal in price now, no one is able to produce an EV at a profit except Tesla. There is a reason why Tesla is the safest car in a collision, has the highest customer loyalty, and whose customers on average are the happiest with their autos. You can believe all the fake news put out by the various commercial media who are hungering for the billions of dollars that Tesla does not have to spend on ads, like GM over 2 billion on ads last year, but you are just being manipulated by people who have a pecuniary interest in making Tesla look bad, so it will be forced to pay the advertising vig like everyone else. But it doesn't have to play that game, just because their cars are superior in engineering and some people care more about that than having lots of body styles on already out-dated platforms.
@@SkyRiver1 it look like your tesla owner or your fanboy of tesla just eccept other brand are catch up which cause value of tesla to drop ,you don't need to use very long text to convince someone ,just face the reality
@@nikky4757 The reality is that if you think other EVs are on the same level as Tesla you know nothing about EV engineering I suggest you refer to Munro Tech. www.youtube.com/@MunroLive/videos
Any child can see that the reason that used Tesla's have dropped in price is because of government subs, and the fact that Tesla has lowered it's price.
Which is good for everyone, especially those in the market for a less expensive EV that is not some laughable BMW attempt or GM trying to convince people that their EVs are somehow on par.
@@SkyRiver1 Get elon's balls out of your mouth, do you think these companies with over 50+ years of being the automotive business can't catch up to a tech company?
Great points and all minor factors, but you missed the biggest one by far. The 7,500 credit was announced a few months ago, which decreases the price of a new Tesla, and thus the relative value of the used cars. That and the dramatic increase in production helping to satisfy demand.
level-headed, balanced assessment of tesla's competitive situation. thanks doug!
I thought pretty much the same. Best thing he's done for some time IMHO
There was a long phase in Germany and Austria where a Model S would not drop under 40.000€ no matter what was wrong with it, huge mileage, door handles not working, end of warranty … etc. the demand was just so crazy high. wait nothing has changed : D
😮
Doug, there are a lot of viable options now, too. Have you reviewed Polestar? Interesting options.
LoL, that’s hilarious
that car is ugly and it has the tech of an old pruis
Another nice video Doug. We have a 2022 Model 3 and still love it, lol. You’re still right on with your assessment. We ordered ours 18 months ago and have had it for a year. As of today a new one is actually the same price we locked in on 18 months ago. It was a crazy carpet ride of misguided values since then. It has now come back to reality. Always enjoy your stuff Doug, please keep it coming !
rwd or performance
Wait until the Cybertruck hits the market. It will cannibalize Tesla’s line up and Tesla will be forced to lower the prices even more.
@@regmatt I live in Canada. A RWD M3. In Canada after all tax and rebates it is 52K CDN 18 months ago and the same today
to me the fact elon bought twitter and exposed how corrupt it was in swaying popular opinion on social issues made musk more of a hero to me. it was absolutely incredible that some of the things many ppl thought was going with media and govts attempting to sway ppls minds - turned out to be true. elon was instrumental in informing the world that there in fact was some collusion going on. i hope we all look at what he exposed and look to him in an even brighter light than before.
@@nickyalousakis3851 What has he exposed?
One of the biggest things to consider before buying a Tesla is service. Any little mishap and the car can spend months and months at a specialized Tesla service center.
Ya, I’ve heard stories of people waiting forever, only to have the same issues occurring after the drop off.
I've read Gm (Chevy ) has been quietly fixing a good number of Teslas...
Not to mention the enormous maintenance costs when out of warranty. whenever people say “evs have no maintenance” I chuckle… yeah buddy they do and it’s more expensive than ICE it’s just delayed
They will not sell parts. You kinda have to go to the dealer. I would never have one.
Not to mention the build quality off the assembly line that makes Mitsubishis look well put-together. When you can get better build quality on a car that costs half as much and can be serviced just about anywhere, that's a huge turnoff.
I think you have summed it up perfectly
Someone closer to the end of their career like me looks forward to these rising rates to hopefully bring prices down and allow us to earn outside the stock market. I hope personally the rates stay at this level as it’s what I’d consider ‘normal’. I also don’t finance anything now so I don’t care about a ‘monthly payment’ but it’s going to be more difficult for my kids.
I remember when the Prius was fairly new and they were selling for 20-22k in DC while my parents, living in San Diego, were seeing people paying 35k for the same car was in much. higher demand in San Diego. Once everyone who wanted one got theirs, prices settled where they are today. At this point, I feel it's fair to say that the line of people waiting to get a Tesla has shrunk and everybody who wanted one has already had an opportunity to buy one. Also, as people become aware of the MASSIVE cost of battery pack replacement with the cars being out for a while, some of the shine has come off of Teslas on the secondary market since not a lot of people are going to overlook a possible future repair bill the size of a new Corolla and not factor than into their valuation of a used car.
Over here the Plug in Prius Prices (used) almost doubled over the last year....oh how i wish i had gotten one to commute :(
Well said. It’s really just basic economics…. Lol.
I think it’s the world starting to hate on Elon Musk in general.
People are losing faith in him as a good guy and good company.
@@A.D.D.O.C.D.T Why would they view him negatively?
@@A.D.D.O.C.D.T he is a good guy tho.. got those stupid Twitter owners out 🥴
The interest rates are what I think of most ... I got 2.65 on a used luxury car in 2021. Now I see loan estimators on websites estimating 9% or more for excellent credit 😳
Agree ! It’s true rates more than doubled . Same with mortgages and dropping housing demand
@@krassimirpetrov7131 glad I got the house low too... This is crazy. I wanted to consider a Tesla for fuel savings (93 octane is so expensive) but the interest rate on a new loan makes it seem not worth it..
9%, non-sense. I got 4.99% from BMW last month on a new car purchase. My credit union was less than that even. But yes rates are way higher than 2 years ago
My current car I got new at 2.19. Can't imagine.
@Krassimir Petrov my friend in Cali missed out on refinancing her condo. I asked her why? Lol
You forgot to mention how former Tesla customers left the brand because of the HORRIBLE customer service & car repair service. We were a 2-Tesla vehicle household who just had enough of their uppity attitude in dealing with customers and how they handle servicing those cars!
You should do a video on your impact on used car sales. Meaning after a review or promotion or sale on cars and bids. If any it seems like an interesting topic
Agree on all points. The bottom line is they're boring and no longer the only game in town. No longer a status symbol, either. They're too common.
Yeah, in some areas they are ALL OVER. And they all pretty much look the same to the average person.
They're as hip as prius' now. The trendy stuff of setting the turn signal to make a fart noise, or making the horn moo is no longer "fresh". There are vastly better options with wildly better interiors that are actually interesting to look at and be in.
That's exactly what Doug said himself in video several months ago: "People keep asking me why I don't have a Tesla. I really think they are great cars. But apart from my personal recharging-situation it's really because they've gotten very common around here! And I do pride myself having special cars in my kind of way. They don't have to be flashy, but there should be something special about them." (Quoted more or less accurate 🤣).
LoL, that was dumb.
Fantastic news, as supply lines start normalizing I can't wait for cars to be affordable again.
Tesla just dropped the prices of their cars by like an average of 15% this week (not included in this video), the new ones that is. Other manufacturers are doing the same but might take some time!
@@MRkriegs Or rather they returned to their original prices.
Yeah, like the $110,000 GMC Denali Yukon XL that is uber affordable. Oh wait. Maybe the Chevy Suburban at $92K??
I think gas prices dropping have had an effect as well. Buyers teetering on the fence between all-electric vs gas/hybrid models lean away from all-electric when gas prices drop by more than $2/gallon.
Plug in hybrids are still the best option, best of all worlds. No daily fuel use with the added backup of gas. My plug in only goes 12 miles but for any driving we do this still means i only buy gas every 2 months at best.
To Be Honest, they have various bugs in earlier models, wonder if the Quality has changed, not it’s got COMPETITORS
This is spot on. You have to be a Tesla Fanatic not to look at some of the other options out there and realize you can get better than Tesla.
Yes Mercedes its a Lil tank for crash safety n luxury is better than tesla
I'd be curious to see how the competition has been doing over the last few months. Which models are considered the next best thing? Chevy Volts?
I wouldn’t say I’m a fanatic but I do want a Tesla. But what’s better then a Tesla? I have yet to see any electric car that’s better then a Tesla overall. I haven’t seen a single car that can combine the best in class range with best in class tech and the best charging network hands down over the entire country. The charging network is the big one for me that makes Tesla just the king of electric cars overall and nothing can come close.
@@pjf674 Well Lucid and Rivian are two recent start ups that have gotten into the high end luxury segment. (Doug gave Rivian car of the year twice). Not mention Mercedes, Porsche, BMW etc all have their own EVs on the market. Kia and Hyundai also have well reviewed EVs. Ford and GM have their EV trucks which are selling well.
As for next big thing I dunno. Tesla is still like the "iPhone" of EVs. Meaning people automatically picture Tesla's in their head when they think of an EV vehicle. (Just like almost everyone owns an iPhone or only considers buying an iPhone despite there being alternatives). But who knows how long that will last. Doug is spot on when he says they haven't done anything innovative over the last year plus.
Id honestly would like to know what you think is a better buy than a Tesla. (Assuming that you are looking for an EV)
I personally like the fact that he's exposing the FBI and CIA.
is it worth getting a high mileage Model 3 with how much it is to replace batteries, should i be more concerned buying used EV's vs gas cars?
Teslas momentum has come to a lower gear now. And it’s normal, is part of being in a competitive market. They are still in an amazing position to keep on making cars and innovating for its customers.
Agree about the tech worker side. Saw so many in the parking lot. Mostly it was a cool toy rather than a wise purchase. I didn’t get one. Prices too high, battery costs are crazy, and their interiors are depressing.
And the inconsistent assembly quality. They need to pick up their game.
Interiors 3/10 point Dude Correct
KIA interior is much worse. Looks like a 2010 car 😩
The market was crazy.... I had a 2014 Lexus LS460, I paid $18,500 for it 3 years ago, in September I got hit and it was totaled. The insurance company gave me almost $26,000 for the car. I've never had a used car that I held on to for over 2 years and made ANY TYPE of profit, never mind almost $7500
That is what the values were, getting a replacement was very hard even at that money.
I would guess that your insurance, maintenance and fuel costs brought the profit to near break even. Even so, use of a vehicle for 2 years for free is great!!
I'm surprised you didn't mention the impact of returning EV rebates convincing people to buy new over used. That was the biggest factor to me.
Toyota MR2, supra, Mazda rx-7, Honda integra, s2000, nsx. Those are just some examples went up in price over time
There is a rival or answer to the Semi? (more reasonable energy source or battery packs, or even charge-cycle capacity decay is one). Thats a lot of the highway energy usage.
I got my Model Y in Iceland December 22. Teslas were not depreciating at that time and holding value very well. Delivery time was 1-3 months.
From what I know cars where not often "available now" ie. someone decided not to take delivery. When I came in to Tesla Iceland I could choose from 2 cars. A few hours later I was offered yet another car (which bought). Thinking back this is very suspicious especially since the car was about to increase about $4000 in price in the new year because of tax changes. So now I'm thinking - who knew about this? Did Tesla Iceland tell friends to not to take delivery and they then passed the cars on to suckers (me)?
This feels like a sort of insider trading thing. I can not see any difference in selling company stock you know for a fact is going to decrease in value and selling a car that you know is going to (abnormally) depreciate in value. Legally it seems to be different but ethically I can not see a difference. I suspect why this is legal and insider trading is not is that insider trading affects people that have money and power. A new car is for most people the second most expensive thing they will buy.
Besides the money I feel I got robbed of the joy of getting and owning a new car. I like the car but I also hate it.
Anyway my blood will stop boiling at some point but I find it very unlikely that I'll buy another Tesla.
It certainly sounds like the insiders knew what they were doing. Musk should give recent Tesla buyers like you a rebate.
You don't like - you don't buy. You made the decision to buy. Stop wheening.
In the moment you were happy to buy the car at that price, period. You let a price movement affect your emotions? So if the price had gone up after you bought your car you'd be all happy that you beat it but since it went the other way you're sad...that's dumb.
@@falecf4 agreed 💯
I am hearing this exact same story in China and the Chinese purchasers of Teslas are very mad too.
Love these videos about the insights you find through running cars and bids. More of this please!
It's really a unique perspective!
Yes I think the rise of Interest rates is a big factor here in SC most people have mentioned that the rates have changed everything, also the high cost of their product, again waiting for the Cybertruck.
Doug is completely right about many Tesla buyers working in real estate, and many other bubble occupations. I can’t believe that I didn’t realize this, but everyone I know with a Tesla works in 1 of those bubble industries that’s falling back to earth
Last week I drove by a Mom and Pop used car lot that had a Model 3 for sale parked right out front. As a goof I stopped by to see what they were asking - I'm not even sure how buying a Tesla outside of their dealer network is handled. It was a 2018 Model 3 for 44,500 on sale for $42,500. I thought that was a bit steep for a four-year old car with half worn down tires, door dings, road rash and all the other things that go with a car that old. I love Telsa cars, but would never pay that much for a new or used car....
Such a great analysis!
This is a really well done, thorough, and thought through video. Very insightful. Well done!
It is interesting that this realization hasn't hit home here in Canada. Still seeing used Teslas offered for more than when
they were purchased initially. Indeed many are more than what new order price or instant delivery price is.
Have interest rates gone up in Canada too?
Surprising, since EV's are not well suited to low temperatures.
@@grod805 Yes they have, we have virtually the same conditions as the US but a smaller market and less early availability and acceptance. Doug mentioned that in his car sale site he is still having people try to list at the inflated prices from a few months ago, we just seem to have more of those people.
The only reason to get a used 3 right now would be for the Long Range model since it hasn't been available to order a new one for a while now and still isn't.
But the used are priced similar to new at the moment, and even the ready new have a couple hundred added on
This is an excellent analysis
There is a dealer in GA that has 3 teslas for sale. One is a 2016 Model X P90D for 39k and the other is a 2019 Model 3P with FSD for only 29.9k. Those are just crazy prices.
Hey Doug. How about a 'garage talk' video on the ins-and-outs / pros and cons of after-market extended car warranties? Sort of a revisit of the Car Max warranty experience with the Range Rover to an update on the extended warranty landscape as it stands today.
The competition aspect you brought up is the most interesting to me. Made me wonder if this is similar to tech startups. A new/agile player enters the market to fill a need quickly. They do well for a bit. Maybe they start looking to other opportunities instead of focusing on their core products. The established brands catch up (this is where I think Tesla is in the story). The next steps are to innovate again to get back to the top or sell out to the established brands. It'll be interesting to see how it goes for Tesla
@L. G. but branding those supporters as toxic doesn’t help either. Every brand from Ford, Dodge, Honda has their supporters.
Common misconception. Tesla is by far the leader because they have secured the highest battery cell supply going forward which is crucial to ramping EVs.
Plus Tesla has the most advanced manufacturing processes (GigaPress etc) that has lowered the production costs resulting in the highest margins.
So no one is catching them anytime soon.
Tesla wont be selling out to established brands any time soon if that's what you thought me be a possibility. Tesla's market value exceeds all established brands combined They simply cant afford to buy Tesla
@@blackvr4tt cell allocation agreements only last for so long though. I agree having supplies for production is imperative, but if competition grows, cell shortages increase, and someone outbids Tesla the Panasonics/LGs/Muratas/Samsungs/etc of the world will just sell to the highest bidder. I'm only saying that Tesla needs to keep advancing if they want to stay up, and that is something that applies to all businesses
@@patrickbrown247 Tesla has been securing lithium supplies directly with lithium mines.
I think there are a couple of further points to this. The 3 to 4 year lease deals on Model 3's are coming to an end and flooding the market with used examples. The price of Electricity in UK and Europe has skyrocketed in the last year, making many EV's less desirable (I assume it is the same in the US). The average price in the UK for a M3 has fallen way too far and will most likely increase a bit in the future (an example is, I was offered £26k for an M3 Perf, grey with white interior, 4,000 miles reg late Dec 2021. This car was over £63k new and there is no way this car has lost £37k in just over 1 year or 59% of its value. I think panic has set in a little and traders are too frightened of getting burned.
electricity went up yes but gas much more so that should make EVs more desirable no?
Europe is dependent on Russia for energy. US is energy independent, so no, we didn't see an increase in electricity. Plus we have free charging here in some locations.
@user-ct8ee8od6o I think the UK is less dependent on Russian oil and gas than mainland Europe, but agreed, that was always going to be an issue and definitely contributed to the price increases. In some ways this could be the kick up the backside everyone needed to be more self-sufficient and invest far more in renewable energy. Larger countries will obviously find it a bit harder to be fully self sufficient, however the UK is a small island that has plenty of water, wind and sun to get the major part of our energy from. A bit like how Norway is moving towards, we can be much greener than we are now.
@@kevinwhite8836 I think we might have to supplement green with nuclear. They are saying we need to triple our energy output if everyone went EV. Definitely will be interesting in the future!
That car you stood in front a mitsubusbi galant or am I wrong? Love it either way
There’s a couple of points that you missed.
1. Abysmal build quality both in general and for its price point (and no, its performance isn’t suffice to compensate for its build quality)
2. Reliability issues, epically for the Model X, Model Y, and Older Model S
The dull design is a turn-off. Some people don't want stark minimalism and everything on a touch screen. Proprietary connectors are also a factor. Then there's the rabid fanbase that refuses to admit any criticism of Tesla. Ford and GM and Mercedes-Benz have been making cars for a long time and have figured out what customers want and how to build cars. Even Kia and Hyundai have figured out build quality.
@@bwofficial1776 Ironically the Shanghai built Teslas rank the highest in build quality.
Overpriced piece of junk.
The company won't survive past 5 years. They are now being crushed in China and this will just get worse, in Europe and US.
People like to say I love my Tesla but 50% of Tesla owners don't go back to Tesla. 20% of Californians Tesla owners would not buy another Tesla.
The hype is over
$20,000 battery replacement after 10 years. Fantastic life for lithium battery, horrible way to economically write-off a car.
@@bwofficial1776 I totally agree with your point on it’s dull design and stark minimalism. I’ve always hated stark minimalism as a interior style and it’s probably the worst car trend to surface recently imo
In Belgium there were more than 200 Tesla for sale on a website before COVID. Then it went down super hard. And now in just a few months this number went up to 430
In Finland it is even more nuts. There are more than a 1000 Teslas for sale in the most popular car listing website. For comparison the most popular make (still Toyota) has 6200 cars listed. There are still like 15000 Toyotas sold yearly in Finland where as with new Teslas the number is like ~1000. For Finland especially the 2nd hand market for Teslas went totally nuts during COVID.
You only want Tesla, the charging network is the only real one!
I work at a bank. Not a single one of the employees involved with lending or investing has a Tesla.
Want to buy a Model 3 soon but just keep seeing the prices drop. Think I will wait a few months to see where prices go.
Great video, Doug. You make a lot of good points. I appreciate your insight into the auto world.
Yeah, I looked at used Model 3s after Tesla price cuts and was astonished how big the price cuts were. Even more compelling than the price cut + federal incentives. Some really good points you made here Doug. Thanks!
So many people bring up the Tesla federal tax cut. How many of those people owe 7k at the end of the year and could even capture that write off? Most can’t
@@CurieBohr I'm sure those buying a tesla could, or close to it. Got to look at how much of your paycheck is going to taxes vs what your normally get back.
Great video. The competition would be the biggest reason for me not to buy a Tesla. I never owned one but I'll never forget sitting in one a couple of years ago when it was unique. The Porsche Taycan and Audi Etron are so much more desirable now and just feel more premium when you sit in them. BMW and Merc have upped their game. Tesla really moved the whole industry forward but you can't stand still for very long in this industry. I'm not a fan of Elon and how he carries himself but it wouldn't stop me buying one of his products.
Musk is a racist, a bigot, and an outright fascist. That’s enough to turn me off.
Stopped me. It's clear this man is a racist psychopath.
I believe one thing to look at is that now that we have older models on the road, for a while, used buyers have come to grips with possible repair issues. These cars can't be fixed just anywhere and parts aren't available at the corner parts store. Repair costs and wait times have reported to both be high.
I don’t see how they can be repairable that’s just the nature of vehicles with a lot of tech and equipment.
Then: This deal is getting worse all the time.... Now: This deal... is very fair and I'm happy to be a part of it!
Doug, I'm concerned, are you going to have to re-arrange your entire license plate wall if you get a plate with the number 23? Or are you going to just put it on top of one of the extra 22's?
There stated mission statement is to accelerate the transition to an electric future, they had to up there price like crazy due to their delivery time being too long and now they are bringing it down to earth as their production keeps growing and they are selling always more.
Plaid owner here and have to say service has been horrible. 10k miles and already replacing motor (left me stranded in middle of road), falcon doors repair 3x, dirty beat up loaner cars, overall crappy experience for a $140k car!
It is important to understand that CarMax did a blanket $12,000 discount across the board on Tesla vehicles in inventory. Some other car buying sites like Carvana and Vroom has stopped buying Tesla vehicles completely in certain locations. Vroom quoted my 2022 Tesla Model 3 Performance with 13k miles at $33,000 the day after the price cuts. That is half of the $66,000 offer they gave me 6 months ago.
In August, Carvana, Vroom and Carguru quoted me around $54,000 for my 2021 Rav4 Prime with 13K miles. Now with 17K miles, I’m basically looking at $40,000. I paid MSRP for my Prime (43K) in 2021 and qualified for the $7,500 tax credit, so those two were the main reasons why I bought my Prime when I did in 2021.
I was looking to sell my Prime to make the jump to full EV with a 2023 Model 3 Performance, but now, I’m keeping my Prime for a multitude reasons. PHEV looks to be the best of both worlds at this point in time.
Dammm you dropped the bag bruh. I would have take that 66k and ran away with it
@@eddyrivera7287 👍👍
Missed one reason.
I know more than a few people that own, or have owned, Teslas that are very dissatisfied with their customer servise at their shops when something needs to be repaired. From what I have heard this is something that goes for most of the countries Teslas are sold in. Here in Norway they have been the bottom brand several years when car owner are asked to judge their cars and the retailers and shops. People notice this and choose other brands instead.
Tesla has put a lot more emphasis on their service centers in the last couple of years, so it's improved a lot
It's cause you're in Norway lol
@@blackvr4tt Not here in Norway. They actually did worse in 2022 than in 2021. Last place both years, but less points in 2022...
@@gumerzambrano No, it isn't. I've heard the same from people all over the world, including the US and Canada...
Yup! Service is also poor.
Personally, I think this will be true of all EVs as time goes on. Yes battery life diminishes over time, but the tech ages even faster. My lease is up on my 22 Bolt EUV Premier in March of 24, and I have to figure out if it is worth it to buy it out at that time. My buyout is based on the 20 Bolt that I had swapped with a the current one because of the battery recall. I’m ahead of the game value-wise currently, but it could be very different a year from now. I also really like my EUV. Hands down, the best commuter I’ve ever had.
No. Nothing about battery life has changed recently. It’s the new tax credit, which makes it cheaper to buy new. And Elon also cut the pre-tax credit prices.
Tesla stands out as different in that regard. They continue to update and improve cars that were built years ago. This is the secret to the early models holding their value. A 2018 Model 3 can do almost everything a 2023 Model 3 can. I believe these price cuts are mostly due to the tax rebate caps, but it also serves to clear out standing inventory and make way for a major refresh they will be introducing in the second quarter. It will be exciting to see what that brings and whether that will make the older models more or less desirable. They have made changes that are not always popular and some owners with older models are quite happy to have missed the boat as Tesla has removed some options.
The buyout just has to be less than the used price for the same car. Buy if it’s $3K cheaper. If it’s $1 cheaper, maybe not.
I don't know if I would ever buy an electric car rather than a lease 🤔 . Battery life decresses every year until it can't hold a charge. Then what you do? Swap out the battery for 20k? What is the cost for a battery swap for your car, and how long is your car model battery lasting? Factor this in to your decision to buy or lease again 🤔
@@albeit1 ... +1. Agreed. .. The metric's are all about the cost of $ dollars, USD.
That better be a VR4 you're standing behind in your cars & bids ad 🙂
Regarding "the competition" -- I just ordered a Chevy Bolt EUV. My requirements: primarily "commuting appliance".
- I qualify for GM supplier pricing, so I was able to see the price I would pay. Minimize the dealer nonsense. Also cuts out the "market adjustments".
- 250ish range is fine. We have two other vehicles in the family that are PHEVs so the Supercharger network is nice to have, not a must have.
- Fully optioned, Bolt is $42K. That includes Supercruise, fancy stereo, upgraded seats, sunroof.
- Performance is more than adequate. Rush hour commuting is either sitting in traffic, rolling in traffic, or basically going the speed limit.
- Model 3 RWD is $43K. I live in a place it snows. FWD with snow tires is fine (AWD/4WD is not a hard requirement). RWD is less desirable (although wife says NO). Model 3 AWD is $54K to start.
- Incentives : $7.5K Federal, $3.5K state, plus free EVSE, and some other incentives drop serious money off the price.
- Insurance rates: I have one teen driver and soon another. Tesla insurance rates vs. Bolt insurance rates are significantly different.
Also, regarding "the competition" -- when I was at the dealer putting in my order, there are signs for the electric versions of the Blazer, Equinox, and Silverado, on a new platform that offers quicker charging and more range. Ford is backed up on orders for the Mach-E, and can you tell me the last time you saw an ad for a Mercedes that wasn't electric? You'd think Mercedes had entirely given up on internal combustion and was instead only selling to attractive ladies who wanted electrified SUVs, based on all the TV ads they have been running.
I've ridden and driven Teslas. They are nice. The acceleration is brisk. Some of the quality issues are probably overhyped, but another factor you didn't mention was Tesla's drop in Consumer Reports rankings, which was widely reported. Yes, cue the "CR only likes boring cars" or "CR is biased towards Toyota and Honda" comments, but plenty of people only like boring cars, and Toyota/Honda do a good job making well engineered, reliable, long-lasting quality cars (even if many are, well, boring). There have also been numerous Tesla recalls in the news this year, too, which can't help -- and yes, I know GM also recalls vehicles. So there's definitely some dirt getting on the halo, and plenty of competition on both the low and high end.
Liked "some dirt getting on the halo". Also the emperor's new clothes!
Are you me? Hah. I’ve been through the EV ringer too. Drove the tesla and couldn’t get my hands on a bolt. However, aren’t you worries about the super tiiiiiny issue of your car exploding and setting your house on fire and killing your family? (I’m holding out for the Blazer ev by the way).
@@baconbigbeats The batteries which could have the potential fire hazard have been recalled and replaced, and the root cause found. If you look at the numbers of potential cars affected it's ridiculously small. ICE car fires are far more common, to the point there are many more of them to where they do not make the news anymore. When I looked into it, there were more car fires in the US than Bolts than had been made. Not to mention well known design flaws where F-150s would catch fire if the master cylinder leaked onto their exhaust manifold.
We have two electrified cars already, both PHEVs. I'd get another one but the Bolt EUV is really a screaming deal for what I need it for.
This is like talking about your dish washer or fridges used market value!
Thanks for the objectivity, Doug. Common sense has become so uncommon, that it's like a whole new concept.
Well put Doug, and I agree with all but would not downplay the importance of the supercharger network. Tesla is the only EV I would travel long distance with today, hopefully that changes in the future.
What are you talking about? I do massive road trips with my Bolt EUV. The non tesla charging networks are completely fine.
That was an excellent segment. It’s annoying how much better this was than a lot of the articles that have been published lately that we’re truly 1 factor narratives.
I'm in France and the huge price swings of new teslas makes it really hard to price second hand ones.
The Stadard Range model 3 went from 50k€ to under 40k€. A lot of people were trying to flip their model 3 to get a model Y too. I've seen adds for 2021 model 3 drop from 37k€ to 30k€ because of the price drop for new cars. Same time last year I could have sold my model 3 for 0 loss and 30k miles on the car.
I did exactly this early November. I sold at just the right time. Need me another one though. Loved that car.
Did you get the 8k discount we got in the UK last week?
@@hardergamer we had an even bigger discount because the model 3 standard range qualifies for a 6k incentive so the total discount is about 13k!
Thanks, here in the UK, white model 3s are very common, they are often company cars used with high mileages, there are huge tax benefits for the employee to drive an EV.
Now there is so much more choice, the Teslas are looking dated and boring, and we love our German BMw, Audi, Mercs etc. Kia and Hyundai are making some superb EVs. The supercharger network is still a huge advantage, but it is steadily being eroded, with new multipoint hubs appearing everywhere. So in my opinion the competition has caught up and taking its share.
Absolutely not,even the next best electric car is a generation behind Tesla. That’s why evs from bmw etc have to put so much unnecessary pomp into their cars.
Polestar alone is much better than tesla
@@voxxonline Factually incorrect. Chinese are pretty advanced in ev technology, but still far behind Tesla.
I'm a used car dealer I don't agree with anything you say other than the price of borrowing money has gone up dramatically which keeps people from buying luxury purchases and limits what they can afford.
Awesome info and diplomatically presented. I really like when someone can talk on a very touchy topic with a rabid fanbase and cover it without causing a storm.
The Tesla fan boys are a nonsensical scary crowd. I agree, Dougy boy did a good job here.
@@pibblesnbits They are only a subset of the elite woke warriors.
@@pibblesnbits every crowd gets nuts. The Tesla fan boys and the "EVs are for liberal wheenies!" crowd.
....Tesla fans will still have a snit over it.
Doug is trying to short Tesla stock by creating doom and gloom content.
Some years ago Tesla was the new cool kid in town. Driving a Tesla made you stand out as an early adaptor. Not so much anymore... Anyone and everyone drives Tesla, it has become a standard product.
Well yeah no shit lol
Crazy idea, have you ever thought so many people buy the cars and want the cars because they’re excellent vehicles?
That’s a good thing bro
Same thing has happened to BMW but they still sell like crazy.
I think it hS to do with the tax credit being more incentive than to buy used cars so prices have to adjust.
Also the interest rate
So, would you say that looking at a small segment of random bids on a site, is statistically representative of the market in general?
Forgot the Semi - that was just dropped into the commercial market and is innovative. They were finishing the semi to use the motor in the cybertruck. They have been just focused on the commercial market for a couple years to get the Semi out.
The semi uses 4 of four of the model 3 motors. People don't know shit in these comments ;D
Great take on this Doug, very thought provoking!
We in South Africa have to deal with rolling blackouts so electric vehicles is never going to be a reality but I have noticed that in colder areas their range to be very limited and requiring long charge times so it's possible that this could also be a factor that causes hesitation.
Yeah temperatures in South Africa vary wildly from summer and winter. We get regular 30 degrees in summer and then it hits close to 0 degrees in winter.
It's gonna take a while for electric cars to be a norm here in SA
EVs have something like 80% market share in Norway, so cold weather is not a dealbreaker.
I know here in the UK we pay road tax based on the cars emissions (never used to be based on that but hey). Electric cars were exempt because they do not have any. But recently the UK government has announced EVs will also have to pay a road tax from 2025. I have no clue what they will base that on kind of walked themselves into a box but it has affected EV sales here. We also had an in issue before Christmas 2022 where EV's were queuing on the motorway service station for over 6 hours to charge their car and dying before they got to the charger. For some reason they were all Tesla's which was not a good advert.
I believe it's a similar thing in most Euro countries. Naturally, the benefit will go away sooner or later. And I actually think it's fair game too, given that as cars weight increases, theyre exponentially more destructive to the infrastructure.