Carlos Ghosn, the CEO of Nissan Motor Co. Ltd. (OTCMKTS:NSANY) doesn’t feel threatened by the strong demand for the Tesla Model 3.
Ghosn welcomed the Tesla Model 3 as a “good competition” and considered the influx of pre-orders for the electric vehicle as a “good sign” for the market.
In an interview with Automotive News, Ghosn said, “The fact that so many people are willing to pay a down payment to get this car which becomes available at the end of 2017 is a good sign. Finally, good competition for EVs is picking up.”
Tesla Model 3 pre0orders reached 276,000
Tesla Motors (NASDAQ:TSLA) unveiled the Model 3 with a starting price of $35,000 on Thursday, March 31. The American electric car manufacturer received 276,000 pre-orders for the Model 3 as of Saturday.
The figure surpassed the 100,000 pre-orders over the next two weeks expected by Wall Street analysts, and it was also more than double the 107,000 total sales for the Tesla Model S and Model X from 2012 to 2015.
According to Tesla CEO Elon Musk, the average selling price of the Model 3 was $42,000 including the price for option and additional features.
Musk said the Model 3 is one of the safest cars worldwide. The electric car is equipped with semi-autonomous driving features such as automatic lane changing and lane keeping. It is available in both rear-wheel drive and all-wheel drive versions and comes with a 15-inch landscape touch-screen.
He added that it has more cargo capacity than any gasoline car with the same external dimension. The Model 3 seats five people comfortably; it has extra headroom and fits a 7-foot long surfboard inside.
Tesla Model 3 would induce demand for electric cars
Ghosn believed that the strong interest for the Model 3 would induce appreciation and demand for all electric cars. It would also encourage Nissan to keep improving its electric cars.
“We welcome competition because it can expand the market. It’s going to stimulate demand,” he said.
Nissan is currently working to bolster the range of its next generation Leaf, which is currently the best-selling electric car. The Japanese automaker sold 211,000 Leaf since 2010. It is also expanding its recharging stations and reducing the cost of its electric vehicle.
The stock price of Tesla increased another 3.43% to $255.47 per share on Monday. The stock gained more than 12% over the past five days.