With the policy subsidy slopes, Tesla's localization is imminent, the traditional car enterprises one after another, what should the new car-making forces do?

Tesla, the "granddaddy" of the new car-making forces, released its fourth-quarter and full-year financial results for 2018, and although it realized a profit of 139.5 million dollars in the fourth quarter, its loss for the whole year reached 1 billion dollars. Tesla, as the world's top electric car stock, has a market capitalization of more than $50 billion. But since its IPO in 2010, it has had only four profitable quarters, with the remaining nearly 30 quarters all losses.

In contrast, the traditional car-making forces can be described as giant, with Volkswagen, Toyota and Renault-Nissan all selling more than 10 million vehicles globally in 2018, and Volkswagen's profit in 2017 exceeding 17 billion euros. BYD's annual profit is expected to be between 2.2-3 billion, BAIC New Energy, driven by subsidies, fell in 2016 to achieve a profit, but the vast majority of new car-making forces are still relying on burning money to survive.

Of course, compared to mature fuel cars, these traditional powers of new energy vehicles still have many shortcomings, but these are basically some of the problems of new energy vehicles as a whole. With many years of accumulation of car-making technology, the traditional powers will also play a more competitive role in the field of new energy after the turnaround.

For the new car-making forces, the subsidy slump is another bad news. Xiaopeng car price adjustment is to cope with the changes in subsidy policy, originally there is no brand recognition to speak of, and now the price increase, sales will be even more unpromising. Previously rumored that the subsidy will be 50% in the second half of 2019, once the landing of the original price advantage of new energy vehicles will no longer exist. No subsidies, can only really fight technological innovation, fight car manufacturing process. However, the good thing is that the car market is big enough, new energy vehicle sales accounted for only 5%, solid car building, future profit, or very likely.