Thread by @BradMunchen

1) $TSLA is getting trashed by the Chinese media (2x in 1 day). One reports on @elonmusk's Naziistic management style leading to an exodus of GF3 execs despite the plant having yet to open. The other on weak M3 demand is so priceless that it behooves me to narrate the key parts.

2) eeo.com reports that news all over the Internet caused $TSLA's share price to rally since Sept. But alas, despite the schedule for opening yesterday, GF3 remains inoperative. Who would've thought?

(FYI, text highlighted in red are my own comments)

3) SCOOP: "Made-In-China Model 3 orders are in the SINGLE DIGITS". LOL! Remember how @elonmusk gave frequent updates on M3 orders in the US after unveiling it? China consumers obviously are not as enthused about the M3 as Americans were.

4) Pricing, as I've pointed out, is one issue behind weak sales of the M3 in China, but quality & spontaneous combustion may be other key concerns among Chinese consumers.

5) The Chinese are already keenly aware of #TeslaQualityIssues despite Tesla's low penetration of the Chinese market: Say one potential buyer: "I don't want to buy the first batch". Seems like there's more trust for reliable European luxury brands.

6) Huge price cuts needed for $TSLA's Chinese-made M3: there's only a $1,130 difference between the import (which has Autopilot) vs the local version (which doesn't). But even the import has sold a meager 2K/month on avg this year. $30K for the local M3? I'm betting on it.

7) The few Chinese who are ordering M3s are going for the imported version, which has led to fears of whether there'll be enough demand for the local version.

$TSLA needs GF3 to pump out 12.5K M3s per month. BMW/Benz SUVs sell 5x M3 imported version, yet cost 30% more.

8) While I've been ranting about how little interest there is in American premium sedans in China (even if it's a Tesla), the eeo.com article really pushes the point home.

H/T @jzanotherpatsy who's on top of $TSLA news in China.

Article: eeo.com.cn/2019/1014/3671…