Tesla's Automotive Gross Margin Forecast

automotive gross margins which was just over 19% that's the metric that people will be focused on in the second quarter and how much more does that drop down. They are dealing with a brutally competitive market in China which is driving a lot of the cost cuts over there. North America and Europe is going to be going through what China is going through right now so they are noticing the competition certainly coming in at the lower end or more cost conscious end of the business. If you were a Tesla you want two things here one you've got the Gigafactory's cranking out model three and model Y which is where you're making them the bulk of your profits. You need to get as many