Hey guys, it's sasha tesla stock has crashed around 660 after heavy setting through april and may there are a lot of short-term headwinds that might mean that the share price will go even lower. We have a potential issue with disappointing q2 results. The ongoing saga with elon musk buying twitter and the bucket loads of hate that are pouring onto elon and spilling over onto tesla after elon declared that he plans to vote republican. We have boycott tesla trending on twitter.

Spurious hit pieces about elon musk are appearing in the media, based on somewhat dubious evidence and published by people with previous convictions for printing hit pieces. Without any evidence, the world seems very busy canceling elon, musk and tesla, and the share price is taking a massive beating. But as an investor, it is critical to distinguish short-term noise from long-term patterns and trends from long-term optics. And if you are able to think for yourself rather than just follow the latest cancel trend, the last two weeks have actually brought in some major positive, medium and long-term catalyst for tesla.

Not that anyone noticed not that you would know, because everyone is too busy reacting to elon musk's tweets. In fact, the last two weeks have maybe had some of the most important announcements, some of the most important bits of news for tesla shareholders, maybe ever, which makes the collapse in share price over the last few days, even more astounding. So let's talk about what just happened: the big tesla news that have just come out over the last few days that nobody has paid attention to. First, while everybody was busy declaring musk to be a racist white supremacist, because he happened to dislike some democratic policies and policy makers, elon musk went and flew to brazil to meet bolsonaro the brazil president.

The official reason for elon musk's visit was to launch a program where starlink will provide internet to remote brazilian schools and to discuss environmental issues in the amazon, and i am sure that they talked about those things. But here is an important point. Elon musk is a kind of busy guy back in february, elon musk tweeted, that starlink had over 250 000 terminals, and this number has been accelerating fast. Adding 19 000 schools in brazil probably staged over a long period of time, and probably at discounted rates is not really that big of a deal commercially and as much as it is nice to give kids connectivity.

It does seem a long way to go for that. Announcement a long way to go and talk to the brazil president, when elon musk was too busy to talk to him when the brazil president came to the united states and then you go and do some more digging and you find out that in february 2020, two Years ago, just over a meeting took place at the u.s embassy in brazil, the brazilian science and technology minister and eduardo bolsonaro turned up to discuss. Tesla building a factory in brazil. Eduardo bolsonaro just happens to be the son of jaire bolsonaro.

Who is the brazil president? In november last year, the brazilian communications minister flew to austin out of all places, to meet elon musk personally to discuss bringing internet to rural schools in brazil. I appreciate that the order would be pretty big. You know 19 000 schools, but that is a very, very senior level in person meeting to discuss it. The rumored location of the factory seems to be sao, paulo or possibly rio, which is interesting because southern brazil is a very popular manufacturing and export hub, including for major car brands like bmw and it's close to the lithium triangle.

A part of the atacama desert on the border of argentina, bolivia in chile that just happens to hold over 50 of the world's lithium reserves, lithium being a key metal in the manufacture of lithium-ion battery cells. One of two, so i guess that we'll have to wait and see and there is no factual data, but it is looking increasingly likely that tesla will be announcing a new giga factory in brazil. Certainly, a lot of noise is pointing to it because back in october last year, at the tesla annual shareholder meeting, elon musk said that tesla are planning to announce multiple new gigafactory locations at some point in the second half of this year and the second half of This year starts in just over a month and talking about other potential new giga factories, it sounds like plans to build. A gigafactory in india have been shelved now.

Tesla wanted to test the indian market by starting with importing cars from china, but the indian government has tariffs that can cost up to a hundred percent of the value of the vehicle and they refuse to negotiate a better deal for tesla tesla hired a whole team, Including a guy called manush kurana a year ago to work on potentially expanding their indian business in a direction that wasn't ever confirmed. He previously worked as a consultant at accenture, where his job description was to support clients in identifying and executing organic and inorganic growth opportunities. In india and he then worked for, invest india, where he advised the government on investing in evs and solar power. You know manufacturing factories stuff like that and then after working in those jobs for a few years, he got hired by tesla to work on policy and business development in delhi.

I will let you decide what could possibly he be working on given the previous jobs, the indian government has apparently been wanting tesla to commit to building a gigafactory, but tesla want to get confirmation on tariffs and taxes before committing. So it sounds like there is some kind of a stalemate and, in the meantime, elon musk seems to have decided to build, not one but two other factories in other parts of asia. Tesla has long been in talks with indonesia since 2020, because indonesia has the world's largest nickel reserves, nickel being the other key metal for making batteries. And four days ago, an indonesian publication called ben news posted a quote by the indonesian investment minister.

He apparently said at a public event last week, god willing tesla will enter indonesia this year, but i can't announce the month. Yet, let's wait because we haven't signed an agreement, yet how much investment is still being kept secret still waiting. But this is good, stuff, big stuff and, of course, take this with a giant pinch of salt. This is just a minister of a country speaking publicly, but here is a photo of joko widodo, the president of indonesia, four days before that statement was made.

The president of a country just happened to fly to texas, to meet elon musk, to discuss potential investments and technology, and on top of that there are rumors circling that tesla will be building a second factory in shanghai as well near the current one. They are already working expansion at the current factory and should increase the potential volume there from 800 000 cars to about 1.2 million cars. There was some news about three weeks ago about this, but a lot of people misinterpreted it. Thinking that that news was about the new factory.

However, there are rumors circling that tesla is planning to go one step further than just the expansion and build a whole new factory. Building mirroring the existing one and making shanghai the largest car production facility in the world. Reuters have just reported the giga shanghai will be reopening the full three shift productions starting tomorrow, which should help a lot with what is looking to be a very weak set of q2 results and potentially improve them dramatically going into q3, and so it seems, tesla is Able to pull the right strings and has the right connections in china that they are happy to double down and continue expanding there. We've also heard the giga berlin has started operating two full shifts as of friday last week and if those are two fully operational shifts, that is coming way ahead of any expectations and could make a very, very big positive impact to q2 production.

But most importantly, it is looking likely that production in q3 and q4 is going to increase significantly as austin berlin and shanghai all ramp production. At the same time, and if we do get announcements about new giga factories in brazil, indonesia, china or india, we may well be on course, for maybe as many as three new factories opening in 2024, and that would make a huge amount of impact for tesla shareholders. In the medium term, we already have a massive increase in production in store this year, as shanghai and fremont are working at record levels and the two new factories have just opened next year. Shanghai expansion should come in, and berlin and austin should be hitting full speed.

So we're gon na have a big big ramp next year versus this year and in 2024, we're potentially looking at three new factories opening. So if you thought that the p l back in q1 looked good for tesla, it is going to be a very interesting two years ahead and in the last few days, tesla has also released full self-driving version 10.12.1, and the improvements seem to be continuing to be Remarkable the software already has over 100 000 users and elon musk has alluded to this number expanding considerably throughout this year. I don't think i need to explain the commercial implications of software that earns 200 a month that can get bundled onto cars that already have a 32.9 gross margin, and that can also be offered to other manufacturers once it gets out of beta. Tesla has also rolled out a big test offering their superchargers to non-tesla vehicles in the last few days in a number of countries, including the uk.

This news was pretty much ignored by the media, but this is big news. Tesla's investment in the supercharger network means that they have a first mover advantage in terms of reach, and the technology seems to be far more reliable and consistent. If tesla can ramp up the speed at which they are deploying superchargers, they will be slowly eating into the market share of the largest petrol companies as more and more people, naturally, organically switch to using electric cars and those companies are pretty big, as it is the Likes of chevron and exxonmobil are both in the 20 largest companies in the united states and aramco just overtook apple as the most valuable company in the world. The business of supplying energy to cars might be less sexy than robots or artificial intelligence or other stuff, but it does make money and it makes a lot of money and yet another development.

In the last few days, it sounds like elon musk has just about had enough of the media, making baseless accusations. Tesla has had a policy for a while now of not having a marketing or a pr team. The thinking there was that the product should do all the talking by itself, but now we have media publishing, hit pieces based on very loose and somewhat questionable indirect third-party sources, and we have news stories being published about a tesla catching on fire and the driver being Trapped, apparently, the window had to be smashed in order to free him, except every tesla, including the one in the video, has a manual release latch on the driver's door, and apparently the driver chose not to use it. There are apparently around 180 000 vehicle fires per year in the united states, but for some unknown reason the media doesn't publish a front page article about the 500 odd fires that happen every single day.

But you know when a combustion engine, ford or chevrolet cash is on fire, so tesla has decided that perhaps the corrupt media needs a smackdown and elon musk has tweeted. Tesla is building a hardcore litigation department where we directly initiate and execute lawsuits. The team will report directly to me. He then said my commitment.

We will never seek victory in a just case against us. Even if we will probably win. We will never surrender or settle an unjust case against us, even if we will probably lose so. Tesla has decided to go after the dirty journalists and it sounds like elon is taking it very seriously because he is looking for hardcore street fighters, not white shoe lawyers like perkins or cooley who thrive on corruption.

There will be blood so if you're, a tesla shareholder, the medium term, optics are looking phenomenal. There's been so many news, literally just in the last few days. It looks like tesla might start actually defending itself from the media who publish hit pieces to sell their newspapers. The production ramp for tesla over the next three years is looking great.

The fsd software is improving at a phenomenal rate. It is looking likely that we're going to have very complete versions coming later this year, based on the pace of progress so far, and all of this is happening while the share price for tesla is down in the dumpster. So i personally i'm going to enjoy hoovering up more tesla shares the next few weeks and months while the sales are on. If you found this video useful, please don't forget to smash the like button for the youtube algorithm.

Thank you so much for watching. I really really appreciate it and, as always i'll see you guys later, you.