Uncanny Valley | WIRED
Is Telsa on the Outs in China?
Apr 22, 2025
Zeyi Yang, a senior writer at WIRED who focuses on technology and society in China, joins to discuss Tesla's precarious position in the Chinese electric vehicle market. Amid rising U.S. tariffs and stiff competition from local brands like BYD, Tesla's future looks uncertain. The conversation highlights the intertwined relationship between Elon Musk and Chinese politics, revealing how public perceptions are shifting. Humor emerges as they recount the amusing failures of robots in a half-marathon, contrasting technology's potential with its limitations.
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Quick takeaways
- Tesla's strong relationship with China is now threatened by rising competition from local EV manufacturers like BYD, NIO, and Li Auto.
- Elon Musk's financial future hinges on maintaining production in China, amidst evolving economic policies and increasing competition in the market.
Deep dives
Tesla's Market Dynamics in China
China is a crucial market for Tesla, significantly contributing to its growth and production. Despite facing challenges, such as rising competition and tariffs from the U.S., Tesla has managed to maintain a foothold in China, largely due to the release of new car models. The company has developed a strong relationship with China, having established a major factory in Shanghai that plays a key role in its production output. However, the landscape is changing, as Tesla's brand appeal is diminishing among Chinese consumers, who are increasingly drawn to local electric vehicle manufacturers.
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