Tesla's sales last month in China rose to a record level after the automaker resumed production at its Gigafactory in Shanghai, which was temporarily closed due to an outbreak of coronavirus.
Tesla’s 11,280 registrations of locally built vehicles last month represents a fivefold jump from February, according to data from state-backed China Automotive Information Net. According to Bloomberg, the March figure doesn’t include imports because the data wasn’t immediately available. Registrations of imported Teslas were 9,273 in March 2019, and 182 this February.
12,709 new Tesla vehicles was insured in China in March. Locally produced Model 3: 11,280(89%), imported Model 3: 647, Model X: 650, Model S: 132— Kelvin Yang (@KelvinYang7) April 17, 2020
China's auto market is gradually recovering, as evidenced by sales growth. In March, Tesla sold total of 10,160 vehicles in China, an impressive 261% increased vs February and also the highest ever monthly sales for the in the China, according to the China Passenger Car Association (CPCA). This demand will only increase along with recovery in the automotive industry.
"Tesla Gigafactory Shanghai's production capacity recovers rapidly, now the production rate (China-Made Model 3) already exceeded the pre-breakout (covid-19) level" said Grace Tao Vice President of Tesla Global in March.
REUTERS/Aly Song/File Photo
Analysts also praise the role of the Chinese factory in Tesla's success. In addition to the great potential of Giga Shanghai, an important role is played by China's policy on EV. Thanks to subsidies provided by the state, Tesla cars have an additional appeal to consumers.
Goldman Sachs analyst Mark Delaney believes that Tesla is a leader in many aspects. "We are positive on Tesla because we believe that the company has a significant product lead in EVs, which is a market where we expect long-term secular growth," he wrote in a note.
A number of advantages make Tesla the most desirable electric cars all over the world and the demand for them in China demonstrates the interest of the global car market in them.