Tesla’s dominance in China could be threatened as early as next year, Bloomberg writes.
Elon Musk’s company has sold a record 120,000 green cars in the world’s largest electric vehicle market. Tesla continues to ramp up production in Shanghai. The China Passenger Car Association predicts that Tesla will sell up to 280,000 vehicles in the country next year.
However, in 2021, the scale of the competitive attack that Tesla will face in China will be enormous, the agency said. Automotive startups Nio Inc., Xpeng Inc., and Li Auto Inc are rapidly gaining market share. Sales of their electric SUVs, sedans, and crossovers are growing in 2020. They are the competitors of Tesla in China.
Previously, Tesla’s market capitalization exceeded $600 billion. The auto giant has set another record that will allow the electric car maker to become the sixth-largest company in the S&P 500. The company’s shares are up about 667 percent since the beginning of the year