Tesla opens its 1st store in South America, but not in Brazil

The automotive giant Teslaled by tycoon Elon Musk, is ready to take its first step in South America, and the choice of location for its physical store surprised many.

While Brazilians eagerly await the brand’s arrival in the country, Tesla revealed that the first store in Latin America will be opened in the luxurious Parque Arauco shopping mall, in Santiago, capital of Chile.

Is Brazil left out of Tesla’s plans?

The absence of Brazil in Tesla’s initial strategy left many Brazilians curious and eager for more details.

The electric car brand has a strong global presence, and choosing Chile as the starting point for its operations in Latin America seems to indicate a fierce dispute between technology giants for South American territory.

Tesla targets South American audience – Image: Tesla/Reproduction

A Bloomberg had access to a marketing email sent to customers and replicated in some accounts of the former Twitterconfirming the opening of the store in Parque Arauco.

While Tesla has not officially disclosed the reasons behind choosing Chile as its inaugural location in South America, it is speculated that factors such as infrastructure, growing demand for electric vehicles and favorable policies influenced the decision.

According to information obtained by BloombergTesla registered the name Tesla Chile SpA in September last year, indicating consistent planning for its entry into the Chilean market.

The store will not only be limited to selling cars, but will also host activities related to energy generation and electricity.

In addition to marketing its renowned electric cars, Tesla plans to manufacture vehicles at its facilities in Chile.

To speed up the process, the company has already started recruiting employees for the new store and is looking for a regional director. Three vacancies are open on LinkedIn for opportunities in Latin America.

The dispute over South American territory is heated, and the choice of Chile as a starting point for Tesla suggests a competitive scenario in the region.

Tesla advances, but Chinese BYD is not left behind

Last year, BYD launched its Seal sedan in Santiago and recently took the lead in the best-selling brands in China in 2023, surpassing Germany’s Volkswagen.

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Both companies face the challenge of conquering a market that is still in its infancy. Despite Chile showing a growing demand for electric vehicles, sales represent only 2.5% of the automotive market.

With Tesla and BYD competing for the attention of South American consumers, the future of the eletric cars in the region promises to be exciting and full of innovations.

Brazil, despite not being the starting point, remains in the sights of these technological giants, and Brazilians eagerly await the day when Tesla arrives on their land.