Tesla stock price is down, deliveries missed expectations last quarter, and significant price drop — in China. Those are the major concerns swirling around the electric car manufacturer as investors took to Twitter to complain about the slash in prices overseas. However, there is a significant difference between the EV market in China compared to most other regions worldwide, especially North America.
Tesla dominates the market almost everywhere, except China. Unlike the dinosaurs in the North American automotive sector, Chinese car manufacturers have been developing and producing electric vehicles for a long time. While Tesla has had countries like the United States and Canada all to themselves for buyers wanting an electric vehicle, it’s not so easy in China. Telsa has to convince consumers to try something other than the BYD Song Plus or the Wuling Hongguang Mini EV.
Tesla has Competition in China
BYD started up in China in 2003, and by 2008 it was building the best-selling hybrid cars in the country. In 2009, several years after the carmaker achieved the top sales in the country. BYD was then converted to a fully electric vehicle, making it much easier for buyers to adapt to EVs while sticking with the brand they already trusted.
Then there is the horrendously ugly and ridiculously cheap Wuling Hongguang Mini EV. At a starting point of $4,500, anyone can hope no one sees them in this EV. The automaker hit the China market hard starting in 2020 and has not surpassed 500,000 deliveries.
Tesla’s main competitors have two particularly important advantages, BYD has brand loyalty, and Wuling Hongguang Mini EV is cheap. Therefore, it only makes sense that Tesla is aggressive. The Model 3 is now the cheapest it has ever been in China, and the Model Y has become much more affordable.
Tesla Cuts Prices
The company already dropped prices a few months ago, and now it's dropping them again. A RWD Model 3 is now $33,500 USD, when it was nearly $39,000; the same car in the United States goes for about $47,000. The RWD Model Y (not available in North America) is now $37,800 USD, down from about $42,000.
Following the announcement in China, Tesla has followed with reducing the prices in several other regions as well. The prices of the Model 3 and Model Y have been reduced in Australia, with price reductions in the 2-4% range, depending on the model.
In addition to China and Australia, Japan is also seeing the price of the Model Y reduced by up to 10%.
While these prices may be tough to swallow for someone in North America, consider that Tesla constantly changes prices to match what the market will pay. This practice has removed the slimy car salesman tactics that plagued the industry for decades. So, while it may seem unfair, Tesla owners must understand that the company doing well in all markets worldwide is vital to its survival as more competition emerges.
It's also possible that we'll see some price reductions in the U.S. as well. With the EV tax credit going into effect this January, Tesla aims to allow as many models to qualify as possible.
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MotorTrend is running their suite of Best Tech of 2025 - and the winner that took home the Best Tech for Public Charging System is none other than Tesla’s North American Charging Standard - better known as NACS or the Tesla Plug.
What is NACS?
NACS is Tesla’s home-grown connector standard - and is now the standard in North America. Tesla opened the connector standard back in November 2022, inviting other automakers to collaborate on a better and easier-to-use charging standard.
At that time, CCS was rapidly gaining traction as the industry standard, but Teslas remained the most common EV on the road. This put Tesla in a unique position to establish a new standard in North America, where the Tesla connector was the most popular.
SAE Standard
After Tesla opened up its connector, the Society of Automotive Engineers (SAE) swiftly adopted it, naming it the J3400 EV Coupler. The SAE initiated the process in June 2023, with the validation phase concluding in October, alongside the release of the J3400 Recommended Practices document, officially establishing NACS as the industry standard in North America.
While a few holdouts, such as Volkswagen and Stellantis, initially hesitated to embrace NACS, they soon came on board. Today, no major automaker selling vehicles in North America plans to use CCS for their future EVs.
Why is NACS Better?
NACS is an innovative charging standard that outperforms both CCS1 and CCS2 (the EU’s version) in almost every way. The system is lighter, more user-friendly, and more versatile, offering better thermal efficiency than comparable CCS systems. Additionally, the handle and plug are designed to be more ergonomic and streamlined, making them easier to use and far less cumbersome.
Differences Between CCS1 and CCS2
The CCS1 charging standard in North America combines the J1772 connector for AC charging with separate pins for DC fast charging. However, it differs drastically from CCS2, which is used in Europe. CCS2 features a more compact design and allows digital communication for both AC and DC charging. It also supports higher power than CCS1.
Technically Better
NACS was designed out of necessity back in 2012 when there wasn’t a connector that met Tesla’s needs for the original Model S. As it turns out, it remains far superior to the charging standards created by legacy automakers today, who were more concerned with having a simple plug-in port than the efficiency and quality of the charging process itself.
Unlike CCS1 or J1772, which use analog communication when charging over AC power, NACS relies on digital communication, regardless of whether it’s charging the vehicle over AC or DC power. This enables better and more reliable information exchange during the charging process. In contrast, analog systems like CCS1 can run into issues—such as ground faults—that may leave your EV bricked without an explanation since data isn’t transmitted the same way.
With NACS, however, any issues can be diagnosed on either the vehicle side or the Supercharger side. If you’re interested - open up Service Mode while plugged into your Wall or Mobile Connector, or while at a Supercharger - and take a peek at the Charging Pane.
Ultimately, NACS offers improved diagnostics and testing, a more intuitive cable and interface, and the best part is that it can support up to 1,000V charging without major changes. Plus, it works seamlessly with both residential two-phase and commercial three-phase power without requiring major alterations to the connector format—unlike CCS1 and CCS2, which uses separate connectors for AC and DC charging.
Improved Communications
We’ve already discussed how digital communication enables effective debugging, but it also plays a crucial role in streamlining the payment process for charging. This is how Tesla makes its Supercharging experience so effortless. When you plug in your vehicle, it communicates directly with the Supercharger and Tesla’s servers. Your payment is automatically processed through the payment method linked to your Tesla profile, making the entire process seamless.
In contrast, with most CCS1 chargers, the process is the reverse. While Plug-and-Charge is a standard, it’s not always fully or reliably implemented. When you arrive at a CCS1 charger, you often need to plug in your EV, fumble with an app or the screen and hope the charging post is working properly before you can proceed.
Here’s a list of automakers that have either pledged to begin using NACS - usually by their 2025 or 2026 model year - or have already incorporated it. Many of these companies also offer adapters, and can also use Tesla’s Magic Dock-equipped Superchargers.
Any companies in parentheses represent a sub-brand of the parent company that has also committed to the NACS connector.
And that’s it—NACS has won the EV charging standards race in North America. If you’re in Europe, you’re using the CCS2 connector, which is superior to the CCS1 connector offered in North America. China has its own relatively novel connector standard, but it still differentiates between DC and AC plugs, unlike NACS, which keeps things simpler.
Tesla’s autonomous robotaxi made a big impact last year at the We, Robot event in October, sparking plenty of questions about when, where, and how production would begin. Well, it looks like we finally have some answers to these questions thanks to new Cybercab-related job openings.
Engineering Roles
Tesla is actively recruiting engineers to focus on various aspects of the Cybercab’s production. One of the key positions is for an equipment engineer, responsible for developing the machinery that will be used to build the Cybercab. Designing and implementing the assembly line is crucial, especially with Tesla’s ambition to manufacture thousands of Cybercabs in the near future.
Unboxed Production Process
Tesla plans to produce the Cybercab using its revolutionary “unboxed” process, which stands in stark contrast to traditional car manufacturing methods. Unlike typical assembly lines that build vehicles from the floor up, the unboxed process involves constructing vehicle sections in parallel and bringing those parts together for final assembly. This method increases the number of engineers that can work on the vehicle at once and increases accessibility for works and robots, allowing the vehicle to be manufactured more efficiently.
Tesla shows off the unboxed process in the vehicle below:
The Unboxed process 🧵 Tesla model Y is used in this video as a placeholder to explain the process without spoiling the actual next gen vehicle pic.twitter.com/onCPeNCduB
A crucial part of the Cybercab’s production will be handled by a new process engineer specializing in plastics. This engineer will focus on the exterior plastic panels, working alongside a tool & die specialist. The reason for this specialized role is likely due to the Cybercab’s unique use of paint-impregnated plastic for its exterior panels, which requires different processes and tooling than Tesla’s typical vehicle exteriors.
Tesla’s VP of Vehicle Engineering, Lars Moravy, shared that the company will be injecting polyurethane paint directly into the plastic during the manufacturing process. This method eliminates the need for a traditional paint shop, as the colors are embedded directly into the plastic while the panels are molded. The best part is that these panels are highly resilient—if they get scratched, dinged, or worn down, the original color remains visible throughout, unlike standard painted panels, which would reveal the underlying material.
Technicians
To implement these new engineering practices, Tesla is also hiring various technicians for the assembly line. These include specialists in plastics, general assembly, and the Giga Press, all of whom will play key roles in bringing the Cybercab to life.
According to the Q4 2024 Earnings Call, the Cybercab’s assembly line is not expected to launch until late 2025 or early 2026. Building such an innovative assembly line is no small feat, and it’s clear Tesla is laying the groundwork for something special.
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