US automakers don't care about volume, only ATP and GP

Japanese automakers, as a group, sell about twice as many cars as the US automakers, as a group, with EU manufacturers close behind the Japanese. Now, the US automakers have been passed by Chinese automakers.

The articles are unclear on whether the traditional USian Chrysler Corp brands are included in the US, or EU totals, as only this footnote is provided: ****** Brands considered American*

Comment from the JATO Dynamics report:

“Negligence from legacy automakers, which has resulted in consistently high car prices, has inadvertently driven consumers towards more affordable Chinese alternatives. As car prices continue to rise elsewhere, Chinese car brands are capitalising on this trend to gain market traction at a much faster pace.”

It is not “negligence”, but the stated objective of GM and Ford, to abandon less profitable regions, and less profitable products, to maximize ATP and GP per car. As has always been the case in the past, those companies are now being attacked from the low end of the market.

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EVs by extension cars will go for close to cost or below cost to pick up the internet surfing time.

It is a matter of time.

The Chinese manufacturers will force that.

Tesla will win that game for a period of time. But at what cost will Tesla win?

X will win.

Apple will win.

Microsoft and Google will win.

Arrangements between the car companies and the tech companies will create shared corporations that do it all online while you passenger ONLY.

adding tesla will probably invest in 5 to 10% of X.

Only in the China market space.
What is being offered by the Chinese in the EU were $30k to$50k. But since Chinese are so cheap to make they can lower prices to keep their offerings competitive.
Also some China EV manufacturers are building factories in Europe so they eventually skirt around the EU tariffs.
https://insideevs.com/features/712516/chinese-evs-in-europe-models-price-range/

https://www.reuters.com/business/autos-transportation/european-nations-compete-chinese-ev-factories-jobs-even-eu-weighs-tariffs-2024-06-10/
European nations compete for Chinese EV factories, jobs even as EU weighs tariffs

Check out this link how BYD will profit and flourish in the EU even with the tariff. BYD profit margins will be higher than the Tesla glory days. 100+%!

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Surely the goal of all corporations (and small companies too) is to maximize Net Profit.
The only time transactional date is important is analyzing where those profits come from and focus on that. 1 transaction with a profit of $1 million is better than 1 million transactions with a profit of $1 each.

Well, unless one is looking for repeat sales and that $1M customer goes elsewhere.