2 Comments
User's avatar
Mike Smitka's avatar

When I go from the Shenandoah Valley to Dulles I always stop at H-Mart, but there's also a Lotte nearby. I've not done a count, but 30% non-Asian sounds about right. NOVA (northern VA) has a huge Korean community, the first H-Mart outside NY/NJ opened there in 1997. Since it's 3.5 hrs one-way, we take coolers with us. As to Detroit, Japanese and Chinese friends in downriver Detroit claim there's no good Asian food of any sort, they have to go towards Southfield/Troy.

Separately, Tesla raised the price of the Model Y refresh, but only for the entry-level version. That's not a good sign. Now that's typical of refreshes, they stem but do not reverse sales slides and discounting. As you note, the Model 3 is discounted, with an "insurance" subsidy of RMB8,000, a charging subsidy (3 yrs at 元1 per visit), and 5 years of free money. With discounts Model 3 sales have held up, but that's post refresh. With only 2 models and 950,000 units capacity in Shanghai, and Model Y exports falling steadily for 2+ years, Tesla won't be able to maintain capacity utilization. Back to drafting another substack post (on price wars) and a Chinese EV analysis for SeekingAlpha...

Expand full comment
david pearn's avatar

US analysts can't identify the cult brand staring them in the face......and some high profile investors are soiling their reputation.

Expand full comment