Electrical car maker Tesla hosted a 2023 Investor Day presentation in Austin, Texas, on Wednesday. CEO Elon Musk took the stage to share his “Grasp Plan 3,” and to debate how Tesla plans to scale up within the face of accelerating competitors.

The presentation was lengthy on imaginative and prescient, and included a assessment of prior achievements, however brief on specifics about any new Tesla services or products.

Close to the start of the presentation, Musk mentioned, “There’s a clear path to a sustainable-energy Earth. It does not require destroying pure habitats. It does not require us to be austere and cease utilizing electrical energy and be within the chilly or something.” He added, “Actually, you might assist a civilization a lot larger than Earth, way more than the 8 billion people may truly be supported sustainably on Earth.”

Musk was initially joined on stage by the Senior Vice President of Powertrain and Vitality Engineering at Tesla, Drew Baglino. They mentioned a future by which the corporate would play a task in “re-powering the grid with renewable fuels” as they ramp up battery manufacturing, each for Tesla’s electrical autos and for the corporate’s utility-scale power storage programs.

Tesla’s purpose is to supply 20 million electrical autos per 12 months by 2030, executives reiterated. The corporate reported full-year deliveries of round 1.31 million autos in 2022.

Throughout a query and reply session following the 3-hour presentation, executives fielded a query about how Tesla may develop its market share in China.

Elon Musk handed the query to Tom Zhu, who’s heading up international manufacturing and has run the China and APAC companies for Tesla for years. “So long as you supply a product with worth at reasonably priced worth you do not have to fret about demand,” Zhu mentioned. “We attempt the whole lot to chop prices,” he added, “and go down that worth to our clients.”

Musk then added, ”Demand is a perform of affordability not need.” He mentioned, “Even small adjustments within the worth have an enormous impact on demand.”

Zhu additionally introduced that as of Wednesday, Tesla had produced 4 million vehicles in whole.

“It took us 12 years to construct the primary million, and about 18 months to the second million. The third million, 11 months. Then lower than 7 months to construct the 4 millionth,” Zhu mentioned touting the corporate’s enhancing operational effectivity.

He mentioned that the corporate plans to construct new automobile and battery cell factories, and likewise to supply extra vehicles per 12 months at its present factories.

Tesla charging chief Rebecca Tinucci mentioned that in 2022 the corporate offered 9 terawatt hours throughout charging strategies, together with house charging together with 40,000 Superchargers. (By means of comparability, your entire U.S. consumes about 4,000 terawatt hours of electrical energy per 12 months.) Tinucci additionally famous that about half of the corporate’s Superchargers within the EU are open to different autos, and that the corporate simply opened 10 Superchargers within the US to non-Teslas.

Tesla design chief Franz von Holzhausen and vice chairman of car engineering Lars Moravy took the stage to indicate off numerous deliberate manufacturing adjustments meant to enhance the effectivity of Tesla car manufacturing. However von Holzhausen mentioned that Tesla wouldn’t but reveal its “subsequent gen” car.

The corporate’s powertrain vice chairman, Colin Campbell, mentioned that Tesla’s subsequent powertrain manufacturing facility shall be 50% smaller than the one in Austin, Texas, however can have the identical capability. He additionally mentioned the corporate is engaged on a brand new type of drive unit that’s suitable with any battery cell kind, and a motor that shall be constructed with none uncommon earth metals.

Forward of the 2023 Investor Day, at a press convention on Tuesday, Mexico president Andres Manuel Lopez Obrador mentioned Tesla had agreed to construct a big manufacturing facility in Monterrey, Mexico. He mentioned Tesla agreed to make use of recycled water and take different initiatives to deal with water-scarcity within the area.

Musk confirmed the manufacturing facility plans on Wednesday, and mentioned manufacturing there would complement, relatively than substitute, any manufacturing at different Tesla services.

Tesla shares have rebounded from declines throughout 2022, and are up greater than 60% for the 12 months up to now. Nonetheless, the inventory dropped 1.43% on Wednesday previous to the occasion, and 5% after hours.

Mizuho Securities analysts maintained a purchase score on shares of Tesla forward of Investor Day, seeing Tesla in a management place in a rising marketplace for totally electrical autos. They wrote in a word earlier this week, “Close to-term, we see continued power in TSLA’s market share, however see cheaper competitor EVs coming to market as probably dilutive to TSLA’s share of the US EV market.”

At the moment, the lowest-priced Tesla accessible is the Mannequin 3 sedan, which begins at a worth level of round $43,000, they wrote. Seven fashions from different automakers are at present priced beneath that, Mizhuo famous.

Musk’s formidable Grasp Plan Half Deux was printed in 2016, and has not been utterly fulfilled. It included 4 important goals:

• “Create beautiful photo voltaic roofs with seamlessly built-in battery storage”
• “Develop the electrical car product line to deal with all main segments”
• “Develop a self-driving functionality that’s 10X safer than handbook through huge fleet studying”
• “Allow your automobile to earn money for you whenever you aren’t utilizing it”.

— CNBC’s Michael Bloom contributed to this report.