Chevy’s big US win bodes well for the Tesla Model Y’s potential domination

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The United States’ auto market may be reeling hard due to the ongoing pandemic, but there are still vehicles that are proving successful even in these trying times. One of these is the 2021 Chevy Trailblazer, which currently stands as the country’s fastest-selling new car. These results, especially considering the ongoing outbreak, bodes well for the Tesla Model Y and its potential domination of the premium crossover market. 

According to a recent study from car search engine iSeeCars.com, the 2021 Chevy Trailblazer is the United States’ fastest-selling new car, spending only an average of 19 days on dealer lots before being sold. This is extremely impressive, especially considering that the study revealed that the average new car spends a whopping 97 days for sale before being bought. 

In a way, the 2021 Chevy Trailblazer’s impressive rankings among the United States’ new car sales suggest that the crossover SUV market is alive and well, even in the midst of a pandemic. The 2021 Trailblazer, after all, is a subcompact SUV that represents pretty much what is expected of the crossover segment. It’s reasonably priced, practical, and it has a pretty hefty amount of features. These are things that the Model Y also excels in, albeit at a more premium price point. 

The Tesla Model Y is arguably the electric car maker’s most bang-for-your-buck vehicle so far, being priced close to the Model 3 yet featuring utility that’s closer to the far more expensive Model X. Considering that crossovers remain popular, it appears that the Model Y could still find a good foothold in the US this year. This could benefit Tesla, especially since the Model Y already proved profitable in its first quarter of production despite the vehicle not being fully ramped. Tesla CFO Zachary Kirkhorn discussed this in the company’s Q2 2020 earnings call. 

Model Y, as we mentioned last quarter, was profitable in its first quarter of production. And despite the inefficiencies that we had due to the shutdown, we did see a pretty substantial improvement in the Model Y margin. And as we said before, the Model Y cost structure and Model 3 cost structure will converge. They’re not quite there. Model Y is still slightly more expensive than Model 3, and it’s not yet at full production. And with Model Y carrying a slightly higher price point, you can kind of back into the math there on the relative gross margins,” he said. 

One thing that truly bodes well for the Model Y’s chances in the US’ new auto market is the fact that it is arguably one of the best premium crossovers in the market today, electric or otherwise. The vehicle has seen stellar reviews from noted veterans such as teardowns specialist Sandy Munro, and though the Model Y still has several areas of improvement, it appears that the crossover is well on its way to joining its sibling, the Model 3, as one of Tesla’s best-selling electric cars. 

The Model 3, after all, has met its own set of doubters during its initial release, with Tesla critics insisting that the vehicle will not find a foothold in the midsize sedan market. Despite this, Model 3 demand proved stable enough that the vehicle practically dominated Tesla’s sales numbers in previous years, all the while beating cars like the BMW M3 in the US. Part of this is likely due to the Model 3’s uniqueness in the market. After all, very few vehicles could offer as much tech and performance at its price point. The same will likely be true for the Model Y. 

Chevy’s big US win bodes well for the Tesla Model Y’s potential domination





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