Giles Coghlan LLB, Lth, MA
Financial Source
Elon Musk has a reputation of a man who gets things done. It is a deserved reputation as his achievements have been quite astounding. Whether it is in space with Starling or SpaceX, on the roads with Tesla, or digitally with AI, Musk consistently takes new ground. Perhaps then it should not be a surprise to see the latest announcements from Tesla. Does it demonstrate that Tesla is going to dominate the EV market?
Firstly, Elon Musk has announced that the new Tesla drive train will leave 50% less of a factory footprint, cost $1000 less, and then it will not use rare earth materials. Tesla’s Colin Campbell stated that due to health and environmental concerns mining rare earths, the next drive unit would use a permanent magnet that does not use rare earths at all. This announcement sent the shares of China’s JL Mag Rare-Earth Co and Jiangsu Huahong Technology Stock Co tumbling as reported by Bloomberg.
Bloomberg also reported that Campbell stated that Tesla had designed its own transistor package that uses 75% less Silicon Carbide which is a big win as it is expensive. Tesla also sees the chip shortage is behind them, aims to make a new car every 45 seconds, wants to spend $175 billion to hit 20-man vehicle production and could launch two new models to help achieve that aim.
Tesla’s share price
The current share price of Tesla is around 50% down from the 2021 peak of over $400. It is contained underneath the 100 and 200 EMA. However, do any further dips lower simply offer good value buying opportunities for the long term? Is Tesla, with all the drive of Elon Musk behind it, going to innovate, add efficiency, and expand its models to a new EV-hungry world? Or will mainstream car manufacturers snap up more of the EV market share? Tesla is one share to watch, particularly, on any drops lower into the $125 region.
-638134314212093875.png)
Our products and commentary provides general advice that do not take into account your personal objectives, financial situation or needs. The content of this website must not be construed as personal advice.
Recommended content
Editors’ Picks
AUD/USD weighed down by China, tariffs
AUD/USD remained on the back foot, slipping back to the area of multi-year lows around 0.5950 on the back of mounting fears surrounding tariffs and their impact on the Chinese economy.
EUR/USD refocuses on 1.1000 amid tariffs jitters
EUR/USD reversed two daily pullbacks in a row an d managed to advance to the boundaries of the 1.1000 barrier on the back of fresh weakness hurting the US Dollar and persistent tariff fears.
Gold erases gains, back to the $2,980 zone
Gold prices now lose extra ground and slip back to the area of daily troughs near $2,980 mark per troy ounce following an unsuccesful attempt to maintain the trade above the critical $3,000 level earlier in the day.
XRP drops 3% as Ripple announces $1.25 billion acquisition of prime brokerage firm Hidden Road
Ripple announced on Tuesday that it is acquiring prime brokerage firm Hidden Road to enhance its institutional offerings and increase the adoption of the RLUSD stablecoin and the XRP Ledger (XRPL).
The Fed is looking at a hefty price level
We are still in thrall to tariffs, the faux-macro “data” driving markets. The WSJ editorial board advised other countries to take their tariffs to zero so that Trump’s “reciprocal” tariffs will have to be zero, too. Cute, but no cigar.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.