In the month of January, Tesla increased sales in Germany by 900%. That is insane. And it’s all coming down to one thing, one thing that I believe is going to affect tesla’s sales all over the world. The incredible part of this is that before this thing even happened, Tesla had the first and bestselling EVs in Europe by a wide margin. More than likely this year, either the Model Y or the Model 3 will actually outsell the Toyota Corolla as long as Tesla can make enough of them.
Now, what I think is really important to keep in mind is all this stuff from the media, very negative stuff. They’re afraid of change. They just want people to click on their rubbish articles, like, you know, it’s cheaper now, or it’s better now to drive a gasoline powered car for a hundred miles. Don’t even click this stuff. If you click this stuff, you know what you’re doing? You’re feeding into their moneymaker. Their moneymaker is to get you to click on and listen to this trash. It’s a key reason why I’m not really making videos about that kind of thing, because it’s just absolutely ridiculous. And it’s the key reason why I don’t post anything like this on Facebook or social media, because it’s not even worth putting our time on. If we don’t give them our time, they’re less likely to actually print this stuff.
Now, in terms of electric vehicle adoption, we have achieved incredible records. For example, in December of 2022, 25% of all vehicles sold in Europe were fully electric. Now, imagine if there were more affordable EVs available. Imagine if Tesla had just discounted their prices the way that they did in the end of the year, at the start of December. And if they had more stock to sell, I mean, that would mean, we could have hit 50%. I think it’s very possible that that could have happened if the product had it been there. The fact that we hit 25%, even with the fairly high prices that vehicles were sitting at before that month began, shows you the incredible demand there are for tesla’s vehicles. Not just for tesla’s vehicles, but for all electric cars in general.
There are so many models available right now that, frankly, are a little bit mediocre. They’re even selling those because, well, there’s just not enough to get around. Of course, the narrative of the media would say to you that that isn’t the case. It’s not interesting to them. It’s not sensational. It doesn’t get anyone to click.
Tesla sales in Germany during January increased by 900% compared to January of 2022. January for Tesla is a very, very slow month. January for the car market is a very slow month. It’s a lot like China. It’s not really a month that we can look at and compare to other months, especially to December, completely different. Tesla has consistently seen sales grow in Germany over the past twelve months, and it has been trying to ramp production to sell more vehicles made in Germany. In Europe, it’s got a lot more room for growth. It’s really not that far behind Audi and BMW sales in Germany, and it’s possible Tesla could even surpass those guys in German vehicle sales in the country of Germany. It’s going to be kind of scary if you’re one of those automakers thinking, in a minute, they’ve already passed us in the US. Is this going to happen in Germany? That’s the publicity that would provide for Tesla and the negative press that would provide for their competition. Now, I don’t really have any sympathy for these guys because, yeah, they’re selling some EVs, but it’s still a very small percentage of vehicles they sell. We’re looking at about 3% of legacy automakers’ vehicle sales being EVs. I mean, realistically, without Tesla by a lot of these Chinese EV manufacturers, MG, et cetera. The global percentage of EV sales would be minuscule. So I don’t really care that they’re being disrupted. If anything, I see it as a good thing. I see it as something that makes them have a wake up call and makes them change their strategy, which is what they’ve been doing. They are saying they’re changing their strategy because they realize they’ve had their iPhone moment, and that EVs are the future. Compared to January of 2022,tesla sales exploded by 912%. That’s a massive difference. But actually, it is a bit misleading because, well, it’s a very small base. In January last year, Tesla had no production facilities in Germany. Infact the gigafactory building had not been approved because environmentalists were being paid. They had opposed it, and that worked pretty well. Plus, there’s a lot of red tape that goes on in Germany, and it just takes a while to ramp up production in the facility. According to the KBA, the German ministry tasked with tracking registered vehicle sales, Tesla sold 4241 vehicles in January. That’s growth of more than 900% compared to January 2022.
The KBA says that in January, Tesla represented 2.4% of the entire vehicle market in Germany. Of course, the media, this is what they’re going to say, oh no, Tesla demand in Germany has crashed. We can see here Tesla sold only 4241 vehicles, meaning they only sold 1000 vehicles per week, and their production capacity is 3000 per week. Tesla must have boatloads of cars that nobody wants. Is that true? Well, I mean, if you hate Tesla, you’re going to agree with that. If you don’t, you’re not going to agree with that. I think it’s pretty obvious that after Tesla reduced the price of the Model Y and the Model 3 pretty significantly. Meaning they qualifies for an incentive of €7000, making them more affordable than ever.That demand won’t be an issue over the next few months at least in Germany. Now, what is really interesting here is that there’s one other brand that saw a huge increase in vehicle sales in Germany in January, and that was MG. Isn’t that interesting? They sell the MG4, the MG ZS EV. They’re selling electric cars, and their sales are going up massively as well. The only legacy automaker that significantly improved its sales was Nissan, surprisingly, which sold 1998 vehicles, or about 500 per week which is not too bad for Nissan, growing 49% versus the same month last year.
Now, unfortunately, EV sales were actually down 13% compared to the previous month, and gasoline powered vehicles increased by 3.5%. Now, what is the reason for that? I reckon it just comes down to production. I could be wrong, but that’s what I would say. Tesla is growing its production in Germany. It’s aiming by the end of this year to be producing way more vehicles than it is right now from that factory in Germany. And I believe it wants to actually start manufacturing batteries there as well. Now, obviously, Tesla did send their battery production line manufacturing equipment to Texas so that Texas could ramp up 4680 cell production. That’s going a lot slower than what Tesla had planned on. That’s pretty normal. Same thing is happening for GM with their electric battery factories as well. However, I do think by the end of this year, Tesla will be manufacturing 46 80 cells will be making structural battery packs from the Gigafactory in Germany. And their production should at least double by the end of this year. Maybe even triple. But we’ll see. Either way, there’s no question about it. There’s a good chance at tesla’s current prices not only will they have the best selling electric car in Europe and Germany this year, more than likely they’ll have the best selling car in Europe, period, overtaking the old aging internal combustion engine Volkswagen Golf.