In the week of January 8-14, 2024, Tesla China continued its vehicle export activities, witnessing a notable increase in new insurance registrations. Industry observers reported 7,400 new registrations during this period, reflecting a robust 131.25% improvement compared to the previous week's 3,200 registrations.
While Tesla China does not publicly disclose its weekly domestic sales figures, analysts and industry watchers closely monitor the number of new vehicle insurance registrations as a key indicator of the company's performance in the local Chinese market. This metric provides valuable insights into Tesla's overall presence and growth in the region. Companies like Li Auto have been consistent in sharing China's weekly insurance figures, contributing to a comprehensive understanding of the electric vehicle market dynamics.
According to recent data from Li Auto, Tesla China recorded a total of 10,600 new vehicle registrations in the first two weeks of January 2024. While this marks a significant decrease from the impressive registration figures seen in December, it aligns with Tesla's historical pattern of lower domestic sales when prioritizing the fulfillment of Model 3 and Model Y orders from Giga Shanghai.
For context, in December 2023, Tesla China achieved total sales of 94,139 vehicles, as reported by the China Passenger Car Association (CPCA). Within this total, 75,805 vehicles were sold in the domestic Chinese market, and 18,334 were exported internationally. Notably, Tesla China typically directs its focus to the domestic market during the final month of a quarter, making this distribution of sales across domestic and international markets particularly interesting.
Gary Black, a Wall Street veteran and Tesla enthusiast closely monitoring the company's performance in China, noted that Tesla China's results for the first two weeks of January 2024 indicate a quarter-over-quarter increase of +24.7% and a year-over-year decline of -28.2%.
The significance of Tesla Giga Shanghai in the company's global operations cannot be understated. The facility functions as a crucial vehicle export hub and, in recent months, has been the exclusive site for producing the upgraded Model 3. Giga Shanghai played a pivotal role in Tesla's global sales, contributing 947,742 vehicles in the previous year, representing 52.4% of the company's total sales of 1,808,581 cars worldwide.
-----------This article is excerpted from TESLARATI.