Glass’s: Tesla 3 ‘raises questions’

The new Tesla 3 electric car has the potential to be a ‘game changer’ in the development of the EV but also raises a whole host of questions, according to Glass’s.

Rupert Pontin, head of valuations, pointed out that the 200-mile range, estimated £35,000 price point and design were all positive developments.

He said, ‘The number of claimed deposits, running into the hundreds of thousands, show that Tesla have really tapped into a sweet spot of consumers that have probably been waiting for a car just like this.

‘This is an EV that looks on paper as though it can go face-to-face with the conventional BMW 3-Series and Audi A4 and convert customers immediately. At a stroke, it almost makes those cars seem old fashioned.

‘However, there are a whole host of questions. This is a car manufacturer than has so far only brought very low numbers of cars into the UK, that has only a tiny dealer infrastructure and, if we suddenly do see thousands of Models 3s appearing on our roads, probably an insufficient charging structure.

‘Also, while the high number of deposits is an indication of the strength of initial new demand, it is difficult to forecast how the used market will react.’

Rupert said that the used car market tended to be relatively conservative in its acceptance of new manufacturers and new technology.

‘These are hurdles that Tesla will have to overcome if it is to post strong residual values that meet or exceed the conventional cars against which it is competing.’