Tesla and BYD surged to world-dominating heights thanks in part to China, the world’s largest EV market. But with the pace of Chinese growth slowing down, the two EV giants are now looking overseas for more growth opportunities. Tesla, which first triggered a fierce price war in China last year, now sees the nearby region of Southeast Asia as its next opportunity.
Indonesia is also courting Tesla to set up a base in the country, which holds vast reserves of nickel, a component used in some EV batteries. Indonesian President Joko Widodo even paid a personal visit to Tesla CEO Elon Musk at the SpaceX launch site in Texas in 2022.
Yet Tesla could be racing against time to establish itself as a dominant EV player in Southeast Asia. Chinese EV giant BYD, which overtook Tesla in battery EV sales at the end of last year, is also making a play for the small, but fast-growing market.