News
Tesla Giga Shanghai posted record numbers despite weak Chinese auto market
Tesla Giga Shanghai posted record delivery numbers during an overall weak month for auto sales in China, revealing its strong hold in the local market.
Tesla China set a new record in November 2022, selling 100,291 Giga Shanghai-produced vehicles during the month. Shortly after the China Passenger Car Association (CPCA) released details of Giga Shanghai’s record sales, reports continued to claim that Tesla China would cut production in December by a notable degree.
Tesla’s rumored production cuts appear unlikely, or at least not as grave as reports would suggest. First, Tesla China officially dubbed the reports as “untrue.” Second, Giga Shanghai just hit its highest record sales last month, so why would Tesla China substantially cut back its output?
Piper Sandler Sheds Light on Tesla China
Multiple publications claimed that rising competition with Chinese EV manufacturers may lead to Tesla Giga Shanghai’s presumed production cut in December. Piper Sandler analyst Alexander Potter said Giga Shanghai would not cut production because of rising competition in the Chinese EV market.
CPCA details on Tesla China’s sales support Potter’s statement. Tesla China sold a total of 69,098 Model Y units and 31,193 Model 3 sedans in China last month. It exported precisely 37,798 vehicles from Giga Shanghai to foreign territories. This made Tesla the country’s top exporter of New Energy Vehicles (NEV) in China.
China Auto Market Status
A more recent note from Piper Sandler provided some context regarding Tesla China’s record-breaking sales last month. The CPCA released data from last month, revealing that auto retail sales dropped by 9.2% compared to 2021. Retail sales decreased by 10.5% compared to October 2022. Constraints related to COVID-19 contributed to the drop in retail sales.
“Therefore, the closure and control had an impact on both the supply and purchase of automobile stores in the automobile market. This autumn and winter saw abnormal retail sales. The downward trend continues,” stated the CPCA.
Potter pointed out that China’s car market declined in October and November–both months that usually yield solid retail sales. The Piper Sandler analyst also noted that October and November typically combine to make up 18.7% of full-year sales. Given the CPCA’s recent data, Tesla China’s performance in November appears even more impressive.
However, with the current state of the Chinese auto market, Tesla may be facing more challenges ahead.
“December is typically the strongest month of the year, historically accounting for 10.9% of full-year sales [in China], so if recent downward momentum isn’t addressed through loosening COVID restrictions, then widespread production cut may be necessary. In this context, it’s easier to understand recent murmurs re: lower production at Shanghai Gigafactory,” noted Alexander Potter.
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Investor's Corner
Tesla (TSLA) Q4 and FY 2025 earnings results
Tesla’s Q4 and FY 2025 earnings come on the heels of a quarter where the company produced over 434,000 vehicles, delivered over 418,000 vehicles, and deployed 14.2 GWh of energy storage products.
Tesla (NASDAQ:TSLA) has released its Q4 and FY 2025 earnings results in an update letter. The document was posted on the electric vehicle maker’s official Investor Relations website after markets closed today, January 28, 2025.
Tesla’s Q4 and FY 2025 earnings come on the heels of a quarter where the company produced over 434,000 vehicles, delivered over 418,000 vehicles, and deployed 14.2 GWh of energy storage products.
For the Full Year 2025, Tesla produced 1,654,667 and delivered 1,636,129 vehicles. The company also deployed a total of 46.7 GWh worth of energy storage products.
Tesla’s Q4 and FY 2025 results
As could be seen in Tesla’s Q4 and FY 2025 Update Letter, the company posted GAAP EPS of $0.24 and non-GAAP EPS of $0.50 per share in the fourth quarter. Tesla also posted total revenues of $24.901 billion. GAAP net income is also listed at $840 million in Q4.
Analyst consensus for Q4 has Tesla earnings per share falling 38% to $0.45 with revenue declining 4% to $24.74 billion, as per estimates from FactSet. In comparison, the consensus compiled by Tesla last week forecasted $0.44 per share on sales totaling $24.49 billion.
For FY 2025, Tesla posted GAAP EPS of $1.08 and non-GAAP EPS of $1.66 per share. Tesla also posted total revenues of $94.827 billion, which include $69.526 billion from automotive and $12.771 billion from the battery storage business. GAAP net income is also listed at $3.794 billion in FY 2025.
xAI Investment
Tesla entered an agreement to invest approximately $2 billion to acquire Series E preferred shares in Elon Musk’s artificial intelligence startup, xAI, as part of the company’s recently disclosed financing round. Tesla said the investment was made on market terms consistent with those agreed to by other participants in the round.
The investment aligns with Tesla’s strategy under Master Plan Part IV, which centers on bringing artificial intelligence into the physical world through products and services. While Tesla focuses on real-world AI applications, xAI is developing digital AI platforms, including its Grok large language model.
Below is Tesla’s Q4 and FY 2025 update letter.
TSLA-Q4-2025-Update by Simon Alvarez
Tesla has rolled out a new Supercharging safety feature in the United States, one that will answer concerns that some owners may have if they need to leave in a pinch.
It is also a suitable alternative for non-Tesla chargers, like third-party options that feature J1772 or CCS to NACS adapters.
The feature has been available in Europe for some time, but it is now rolling out to Model 3 and Model Y owners in the U.S.
With Software Update 2026.2.3, Tesla is launching the Unlatching Charge Cable function, which will now utilize the left rear door handle to release the charging cable from the port. The release notes state:
“Charging can now be stopped and the charge cable released by pulling and holding the rear left door handle for three seconds, provided the vehicle is unlocked, and a recognized key is nearby. This is especially useful when the charge cable doesn’t have an unlatch button. You can still release the cable using the vehicle touchscreen or the Tesla app.”
The feature was first spotted by Not a Tesla App.
This is an especially nice feature for those who commonly charge at third-party locations that utilize plugs that are not NACS, which is the Tesla standard.
For example, after plugging into a J1772 charger, you will still be required to unlock the port through the touchscreen, which is a minor inconvenience, but an inconvenience nonetheless.
Additionally, it could be viewed as a safety feature, especially if you’re in need of unlocking the charger from your car in a pinch. Simply holding open the handle on the rear driver’s door will now unhatch the port from the car, allowing you to pull it out and place it back in its housing.
This feature is currently only available on the Model 3 and Model Y, so Model S, Model X, and Cybertruck owners will have to wait for a different solution to this particular feature.
News
LG Energy Solution pursuing battery deal for Tesla Optimus, other humanoid robots: report
Optimus is expected to be one of Tesla’s most ambitious projects, with Elon Musk estimating that the humanoid robot could be the company’s most important product.
A recent report has suggested that LG Energy Solution is in discussions to supply batteries for Tesla’s Optimus humanoid robot.
Optimus is expected to be one of Tesla’s most ambitious projects, with Elon Musk estimating that the humanoid robot could be the company’s most important product.
Humanoid robot battery deals
LG Energy Solution shares jumped more than 11% on the 28th after a report from the Korea Economic Daily claimed that the company is pursuing battery supply and joint development agreements with several humanoid robot makers. These reportedly include Tesla, which is developing Optimus, as well as multiple Chinese robotics companies.
China is already home to several leading battery manufacturers, such as CATL and BYD, making the robot makers’ reported interest in LG Energy Solution quite interesting. Market participants interpreted the reported outreach as a signal that performance requirements for humanoid robots may favor battery chemistries developed by companies like LG.
LF Energy Solution vs rivals
According to the report, energy density is believed to be the primary reason humanoid robot developers are evaluating LG Energy Solution’s batteries. Unlike electric vehicles, humanoid robots have significantly less space available for battery packs while requiring substantial power to operate dozens of joint motors and onboard artificial intelligence processors.
LG Energy Solution’s ternary lithium batteries offer higher energy density compared with rivals’ lithium iron phosphate (LFP) batteries, which are widely used by Chinese EV manufacturers. That advantage could prove critical for humanoid robots, where runtime, weight, and compact packaging are key design constraints.
Tesla (TSLA) Q4 and FY 2025 earnings results
Tesla rolls out new Supercharging safety feature in the U.S.
