Tesla's domestic sales in July dropped nearly 70% month-over-month, but this is not because the domestic market is struggling; rather, it is a source of pride for Chinese manufacturing:
 
1. Today (August 10), the China Passenger Car Association (CPCA) released Tesla’s July sales figures — 32,968 units. If we exclude the export volume (16,137 units + 8,210 units), then Tesla's domestic sales were only 8,621 units! Tesla’s June sales were 33,155 units, with domestic retail at 28,138 units and exports at 5,017 units. Compared to June, July saw a near 70% month-over-month plunge. Could it be that Tesla can no longer sell well domestically?
 
2. In fact, this is not the case. We can see that Tesla exported the vast majority of its domestically produced models in July. There are three main reasons for this: First, Tesla's factory in the US cannot meet the demand of the European market; second, Tesla's Gigafactory in Germany has not been able to start production in the short term; third, the cost of Tesla vehicles made in China is very low, so naturally, Tesla has exported most of its China-made models to Europe.
 
3. Moreover, July this year marked an explosive period for the export of domestically produced new energy vehicles. According to statistics from the CPCA, Tesla's China exports reached 24,347 units, SAIC Passenger Vehicle's new energy vehicle exports amounted to 4,407 units, BYD exported 781 units, Chery Automobile exported 120 units, and other automakers' new energy vehicle exports are also poised for growth.
 
4. According to data from the CPCA, in the first half of this year, China's new energy vehicle exports reached 173,000 units, representing a year-on-year increase of 151.3%. The Secretary General of the CPCA stated that Tesla China’s export volume in the first half of the year...