Part 4/11:

During retooling periods, Tesla's inventory levels are intentionally kept low, sometimes in the teens—far below industry norms, which can range from 30 to 200 days of inventory. When factories ramp back up, sales naturally increase, but the temporary dip in the early parts of quarters can paint a misleading picture of demand.

Market Competition and Foreign Markets

The competitive landscape in Europe is intensifying. Traditional automakers like Volkswagen and Chinese brands such as BYD are rapidly expanding their EV offerings, often with lower-priced models. For instance, Volkswagen sold over three times as many EVs as Tesla in Europe last month, and BYD sold more than twice as many.