Leland Miller, China Beige Book CEO, joins 'Squawk Box' to discuss Elon Musk's surprise trip to China, state of China's EV market, China's economic challenges, and more.
China allow Tesla FSD so that it can encourage its own domestic autonomous driving industry to flourish. Remember Tesla kick start the EV industry in China, now China bet big on autonomous driving too, by developing autonomous driving, incorporate this service into their own EV, they can kick the ICE dumb-vehicle out sooner and dominate the future smart-car industry: China is choosing a win win approach with Tesla here.
simple because Tesla shares its Technology with China. Elon says everyone is free to copy his tech. Elon does not care about your USA vs China politics.
Been an investor and following Tesla for years now - this take is horrible. They are just allowing FSD in China, has nothing to do with helping sell more EV's amid price war, wtf
Simple! have Tesla (a shell that uses CHINA made batteries and manufactures 60% in China) to still be a player in China and West. It disarm the policymakers from doing anything to fight the battery industry which China controls.
Industry standards improves faster if it has stronger competition. That was a big reason they gave Tesla loans for Tesla's Chinese factories. They want to ensure their domestic automakers are competing or outcompeting Tesla.
Tesla won't fade away. This crazy talk. Tesla is sill turning out $6,500+ profit per car, they have an energy business growing at 70% and the new compact coming in August. Now with the China FSD deal this 100% margin. He's right about one thing, no one is making money except for Tesla.
I looked it up. They had negative FCF of $2.5 Billion in Q1. This equates to loss of $6500 per car delivered in Q1 or $3500 even excluding $1 Billion used for capex. As for energy storage, it grew 7% YoY looking at Q1 report. Where are you getting 70% from? As for Supervised FSD, are you claiming that Tesla developed it at $0 to make 100% margin? From the news it appears that they have conditional approval in China, meaning they can sell subscriptions or sell it outright as they do in US. I am unable to find any reporting that their regulators have fully approved it. Plus, they will give Baidu a % for the mapping & navigation data. What am I missing?
The amount of mental gymnastics here is hilarious. I’m not even a big fan of Tesla, but takes like these really make you lose faith in traditional journalism. Blocking CNBC - bunch of jokers
It is US that should have been help keeping Elon and Tesla in the game, but Americans are too gready. They only listen to short term sighted wall street analysit and only care about profits today. Seriously, what is wrong with you?
Tesla is the most efficient fastest most profitable auto maker of all types in China despite price war. Tesla is the No1 best selling EV in China. Tesla brand is loved in China. Tesla is the most prestigious & most trusted auto brand in China. Tesla mission is decarbonization & full renewable electrification. Chinas goals also.
I don’t think China is concerned about Elon’s happiness. They want the best tech. Then they swipe what they can. That’s why they let Tesla set up shop as the first wholly owned foreign company. They also want foreign investment, which has been on the decline of late. This is a demonstration of openness to foreign businesses in an effort to reignite investment. Making Elon happy is the last thing on their mind.
The price war in China was started by Tesla dropping prices. It was the beginning when all Chinese EV makers started dropping prices. The Chinese government was not happy about it and told the whole industry not to create abnormal prices that could disrupt the industry.
You are living in a parallel reality where the government can just treat companies like kids in a classroom.. that must be fun. Too bad the companies have margins to hit and shareholders to pay, and they’re gonna do what they have to do with their prices and the goverment has no power whatsoever on the price of EVs
Bro it’s only CNBC, it’s not like they have any idea of what they are talking about, it’s American television.. we are lucky it wasn’t the Kardashians giving us their analysis
He cut prices in China, but passed on the losses to American consumers. He also laid off workers in American factories, causing people to lose their jobs. This kind of company should be boycotted.
this even with china''s unique (strange, actually) business practices this is a favor being thrown back to Tesla. Tesla built and spent big $ in china building, funding and the employee's of that factor. BYD and china knows Tesla is a healthy competitor. China is not worried hence the market and make their vehicles for a cheaper market. So "backing up" Tesla here is not a business or competitor issue at it's core.
Gold stocks are undervalued compared with gold prices, stocks will skyrocket once earnings come in, not to mention bad market news will further fuel the prices…BUY GOLD Stocks !!
What are Monopolistic Markets? Monopolistic markets are markets where a certain product or service is offered by only one company. A monopolistic market structure has the features of a pure monopoly, where a single company fully controls the market and determines the supply and price of a product or service. Hence, a monopolistic market is a non-competitive market.
i love how the host talks trying to sound like its a negative thing wait till FSD comes to europe. and wait for the newer versions of FSD in 3 or so months. legacy auto goodbye.
Leland M did not answer the question which was asked twice upfront- why? What’s his agenda? I’m assuming his not stupid I mean that so what’s the angle?
His double speak is hilarious! He went to “keep Tesla in the game” to “ comfortable with 5hem”. He doesn’t want to admit that China wants Tesla there because they can learn from them and now it looks like they will adopt Teslas FSD
What can tesla give china ? Tesla was created in 2003 Byd was created in 1996 Tesla can't even make a battery while byd can create a bus as well Dude stop being jealous
nobody asked for a robotaxi. no one needs a self driving car. The battery thing isn’t any better than gasoline as far as using earth resources. It is not a profitable bet even under best circumstances and regulation gimmes; ignoring all competitors (like Amazon) already on the same page as Tesla but as a pet project - not a bet on black or red like Elon’s uncontrolled thoughts and decisions . It’s literally so dumb, I feel like it is out of the movie idiocracy.
Watch, Musk will be building/reselling a Chinese car for USA; his low priced EV. That’s how Volvo is selling a Chinese car in the USA avoiding tariffs etc. this guy has no clue about BYD
Sober Joe's on with the "I have no meaningful insight" China Beige Chair CEO 😂Tesla, Microsoft, Yum Brands, PepsiCo, Coca Cola, Starbucks, Aldi's , Carrefoure, Costco, Sam's Club all foreign companies doing well in China. Elon promised GigaFactory/Jobs, Open Source FSD , Data Security as well as Robotics GigaFactory etc. Elon for President.
Chinese people in China cannot afford anything right now, because they’re experiencing a recession and a depression at the same time. Their real estate industry is collapsing, because it’s a Ponzi Scheme. Soon you will see the housing market in America collapse, because companies are buying up homes and renting them out at outrageous prices during this time of artificially made inflation by corporations in the US to maximize profits. You see more and more lower middle class Americans living in poverty like lower class Americans, but unlike lower class workers, the lower middle class workers cannot get government assistance,because they’re not poor enough even though they have lost a lot of their spending power.
I'm a Tesla investor, but get real. Yes, the stock rose a bit today, but even after today's gains it's still down approximately 50 percent in the past two years. A period in which the markets in general have been improving. That's a pretty serious decline by any measure.
@@mikeincalifornia God, I hope you are right. I have reached my original goal of 1,000 shares, but now I want to push further and I need the stock to stay down a while longer. And you are right, this China deal is a blip on the screen. But FSD and all that is coming after it; that is another story. I'd advise you to stick with it and not diminish your position.
@@andrerodriguez7603 Don't be naive like Elon. China is going to eat Elon's lunch. To China Tesla is still have some value with its FAD. But once the Chinese EVs catch up, Tesla will be pushed to the side.
I agree that EV’s aren’t likely to have a measurable effect on climate as is the intent, but after driving a Tesla I can honestly say they are simply better in nearly every way to every ICE vehicle I have ever driven.
@@guildguitars6349 Can you buy a Country Gentleman from Gretch that sounds like the 1962 issues? Guild was a standard at one time as well among the Folkies. Electric cars are just a commercial distraction from the fact that the economy is designed to support profits for an Investor Class. Guitars are subjected to economic forces that seem similar to the Car Guys efforts to remain relevant. We could discuss the effect of Stockholder Demands for Dividends in Rail Investments as well? But Electric Cars are simply enablers of the People who continue to believe Capitalism is not all that bad, as Hugh Romney claimed.
