Musk slammed Wall Street, the bears fell, and the Biden plan failed

Mondo Technology Updated on 2024-01-30

SinceTeslaEstablished in ChinaGigafactorySince then, its production capacity has increased significantly, which is also what Musk has been able to doWall Streetof the bears defeatedCriticalTeslaUntil 2018, it had been facing production capacity problems, and it becameWall StreetThe main target of short positions. However, sinceShanghaiAfter the factory was put into operationTeslaThe yield problem is solved. This also gives a global perspectiveCarsThe experts have brought about a conceptual subversion that proves that China is thereNew energy vehiclesThe manufacturing side has managed to go beyond the traditional onesCarsManufacturing powerhouse.

InWall StreetTeslaThe losses of the shorts can be described as heavy. From 2020, just over a year, rightTeslaof short positions caused losses of more than $51 billion. In this regard, Charlos is the number one short among them, and he started shorting back in 2016Tesla, thinksTeslaThe price-to-earnings ratio is too high and the production is insufficient. However,TeslaThe stock price has skyrocketedWall StreetHundreds of millions of dollars invested by short positions have also come to naught.

TeslaChina's success is inseparable. TeslaInShanghaiEstablishGigafactoryAfter that, China's industrial chain provides a stable development environment for it. In addition, China ** also givesTeslaVarious supports, including the provision of business subsidies and tax breaks. It's all forTeslaSuccess in the Chinese market has laid a solid foundation.

Biden's inflation reduction bill had hoped to be fueled by huge subsidiesNew energyThe development of the industry. However, more than a year later, the plan does not seem to have achieved any noticeable results. In order to further promote the domesticNew energy vehiclesindustry, Biden ** has issued an upgraded version of the regulation that requires sales in the United StatesElectric vehiclesThe latest regulations must be met in order to receive the tax-free subsidy. This provision is actually intended to promote the wholeNew energy vehiclesThe industry is concentrated in the United States.

However, this regulation is likely to result in the EV industry no longer applying for tax-free subsidies. This is because it can be costly to get this subsidy. ForNew energy vehiclesFor production enterprises, if they want to achieve rapid production, they cannot do without the support of China's industrial chain. Teslabecame a vivid example. InShanghaiBefore the establishment of the factory,TeslaThe yield has not been able to increase, tooWall StreetBears suppressedTeslaOne of the main reasons. However,TeslaIn China, production was guaranteed, which completely changed the situation.

TeslaThe degree of dependence can be seen from 2022ShanghaiPandemicThe impact is seen. ShanghaiofPandemicSeriously affectedTeslaThe global production of the world, further proof of thisTeslaDependence on China's industrial chain. In the first half of this year,TeslaAttempts were made to increase production at German plants, but had to abandon this plan and cut production. These examples undoubtedly show that in Germany and the United States,New energy vehiclesThe industrial chain is very imperfect, and it is difficult to meet the production needs of enterprises. TeslaThrough vivid examples, we have shown our global peers how fast and efficient production is possibleElectric vehicles, inseparable from China's support.

Musk'sTeslaInWall StreetThe victory, as well as the failure of Biden's plan, is directly or indirectly related to China. TeslaEstablished in ChinaGigafactoryAfter that, the output increased significantly, so that it had been shorting beforeTeslaofWall StreetThe bears suffered tens of billions of dollars in losses. It also shows that China is inNew energy vehiclesThe manufacturing aspect has surpassed other traditionsCarsManufacturing powerhouse. And Biden's plan, although it wants to pushNew energythe development of the industry, but due to the domesticElectric vehiclesThe excessive regulation of the industry has led to the restriction of the production of enterprises, and thus failed to achieve the expected results.

To sum up, in the worldNew energy vehiclesIn the competition of industries, China has significant advantages in terms of industrial chain perfection and policy support. As a result, other countries and businesses are developingElectric vehiclesThe industry needs to learn from China's experience and successful cases, strengthen cooperation and exchanges, and achieve rapid industrial development and sustainable economic growth. Only by strengthening international cooperation can we work togetherNew energy vehiclesOnly by making progress in the industry can we achieve the goal of global sustainable development.

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