Tesla CEO Elon Musk has been talking up fully autonomous driving for the better part of a decade now. Next week, the check is finally due. The company's Robotaxi Day event on Oct. 10 had better go well because it's going to be a public demonstration of Musk's vision for the future of the company that goes far beyond merely selling electric cars. But in the meantime, despite an aging lineup of cars and the new Cybertruck not being sold everywhere, Tesla's actually still doing well globally at that.
That kicks off this Friday edition of our Critical Materials roundup of tech and auto industry news. Also on deck today: Stellantis blames bad marketing for Maserati's current woes and Europe is about to make it even tougher for China's automakers. Let's dig in.
30%: You Still Have To Get Up Very Early In The Morning To Outsell The Tesla Model Y, And Even Then, It's Damn Near Unbeatable
After two consecutive quarters of slumps, Tesla finally bounced back in global sales in Q3 with 462,890 vehicles delivered. That was its best result in 2024 so far and a solid year-over-year jump from Q3 2023. Granted, the result was below some analysts' projections, but it was a badly needed bump for an automaker whose CEO is routinely accused of being distracted with his other ventures and other passions, like demonizing immigrants online.
Perhaps most impressively, Tesla's Q3 meant it beat out China's BYD, as CnEVPost pointed out.
It's worth noting that's purely in EV sales. BYD also sells hybrid cars, so its combined total sales handily outpace Tesla's at over 1 million (the first time it's done so.) But in the all-electric space, Musk keeps the crown for now. In Q3, BYD sold 443,426 EVs, a modest increase from last year and the previous quarter.
As we reported earlier this week, renewed Chinese EV subsidies gave Tesla a needed boost across the world, especially as its U.S. market share shrinks and players like Hyundai and General Motors step up to fill that vacuum. And it's worth noting how long Tesla can keep this surge going; an updated Model Y due out next year should help, but many critics say it should've been here by now. And the rest of Tesla's model lineup plans beyond that are more unclear than ever. (The Roadster doesn't count. Come on.)
60%: Maserati Blames Bad 'Marketing' For Slow Sales And Losses
There are some so-called "legacy" auto brands whose role in the EV transition I tend to question. Take Maserati, for example. In modern years, always a bit of an also-ran brand behind the likes of Mercedes-Benz and certainly its more famous bigger (but technically younger) brother, Ferrari. But does anyone want an electric Maserati? What's the point of that? What does it bring to the table that some newer, more high-tech brand can't? This is where I get why supercar and ultra-luxury car buyers may prefer internal combustion engines; if enough of the world goes electric and that brings down carbon emissions in a meaningful way, there will still be people willing to pay whatever fuel costs or penalties are needed to drive a high-end gas car.
But the market doesn't work that way, especially in Europe, which is really turning the screws on ICE power. So Maserati has to evolve. And it's not going so well right now. Maserati seems to be one of the brands that Stellantis leadership, in its infinite wisdom, tried to prioritize ahead of moneymakers like Jeep and Ram. Sales aren't taking off and CEO Carlos Tavares blames poor marketing, reports Automotive News:
Maserati’s global sales fell more than 50 percent to 6,500 units from January to June from 15,300 in the same period last year, Stellantis said.
The brand had an adjusted operating loss of €82 million ($90 million), compared with a profit of €121 million in 2023. That translates to a negative 13 percent adjusted operating margin, compared with a positive 9.2 percent margin in 2023.
"What I see right now is that we have the cost structure that should allow us to ensure the sustainability of Maserati, but I don't think that we have done enough to position the brand as a pure luxury brand," Tavares told reporters after inaugurating a global hub for the group's commercial vehicle unit Pro One in Turin.
Despite improvements in quality and offering a range of powertrains, including full-electric Folgore models, Maserati is not reaching enough potential buyers with the right message, he said.
“We need to work on the purchase funnel, on the lead generation and, if we generate more leads, then sales will follow,” Tavares said.
In particular, the Grecale crossover carries the rest of the brand to the tune of three-fourths of its overall sales in Europe. Those have been tanking lately, and its electric version the Grecale Folgore doesn't seem to be a class-leader. (Frankly, I forgot it even existed until right now.)
Anyway, Stellantis and its European leadership may have a strong attachment to Maserati, but their attention may just be needed elsewhere for now.
90%: Europe Hits China With Tariffs, But Not With A United Front
But Europe isn't taking an incursion by China's EV sector lying down. Today, Reuters reports, the European Union voted to move forward with tariffs of up to 45% on Chinese-made EVs. Those will go into effect next month and last five years.
The Commission, which oversees the bloc's trade policy, has said they would counter what it sees as unfair Chinese subsidies after a year-long anti-subsidy investigation, but it also said on Friday it would continue talks with Beijing. A possible compromise could be to set minimum sales prices.
In a pivotal vote on Friday, 10 EU members backed tariffs and five voted against, with 12 abstentions, EU sources said.
It would have taken opposition from a qualified majority of 15 EU members, representing 65% of the EU population, to block the proposal. Reuters reported on Wednesday that the measure was likely to pass with France, Italy and Poland in favor.
The region's biggest economy and major car producer, Germany, voted against the proposal, sources said on Friday. The EU executive said it had obtained "the necessary support" to adopt the tariffs, although it would continue talks with Beijing to find an alternative solution.
Germany opposed the move because, despite having perhaps the most to lose here, it still has significant tie-ups with and inside China. Mercedes-Benz, BMW and Volkswagen need to hold onto whatever sales they have there, and some even have deals to make European-market cars in China as well. So as that story notes, it's a struggle between a trade war with China, or an "if you can't beat 'em, join 'em" approach instead.
100%: How Long Can Tesla Keep The Streak Going?
It's probably a mistake to fully count out Tesla. But this robotaxi play is a huge gamble on something many people may not even want (let alone a clear path to monetization for the technology, if it even works) while people do want more affordable EV options. Tesla eked out a win with the Model Y thanks to help from more new incentives in its second-biggest market. How long can it sustain this until the aging lineup really becomes a problem?
Contact the author: patrick.george@insideevs.com
