The Europe/China production was from late Q4 2018 and early January 2019. Remember, the quoted Tesla M3 production capability is > 20K per month,Zythryn wrote: Sales did, but much of that is because production is now being sent to Europe and China.
and Europe/China deliveries were less than $25K. So let's avoid rationalizing Tesla's poor U.S. sales in January/February as being related to
limited production capacity. Besides, Tesla has had a fairly large M3 excess inventory lately throughout the U.S. The M3/MS/MX price reductions
are the result of a marginal overall demand, i.e. it's that simple. The key is issue is whether the price reductions, especially the M3's, will
generate enough volume to offset the reduction in overall GP in 2019. Q1 2019 is already expected to have a loss, e.g. the latest TSLA price drop.
Bottom Line: The BEV market is still basically inelastic until the price point reaches less than $25K.